Income Inequality

Income inequality describes the extent to which income is distributed unevenly among residents of an area. High levels of inequality indicate that a small number of people receive most of the total income, and that most people receive only a small share of the total. There are many advantages and disadvantages associated with the inequitable distribution of income.

The issue of income inequality in the United States is complicated and does not have a definite answer. Income inequality can be measured in a few different ways. The first measurement for the income inequality in a country is to look at the percentages on households and group them into income categories, called distribution by income category. The second measurement for income inequality is called distribution by quintiles or fifths. This is when you divide the total number of people, households, families into five groups called quintiles to examine the percentage of total before tax income received by each quintile. Each quintile would then be ordered by income and households in the category.

In any given population, there is a difference between what people within the population earn. The uneven distribution of income in any given population is income inequality. In order for there to be income, there has to be several sources of income. These sources of income may be combinational or independent per person receiving the income. Income may result from wages, rent, bank account interests, salaries or even profits made in business transactions ( Stiglitz, 2012).

This article titled "How income inequality hurts America” written by Steve Hargreaves explains the thesis statement itself. On the other hand, he states it’s not just income equality but it’s also lifespan inequality, education inequality, and declining economic growth, which refers to the graphs shown above the starting paragraph. Mr. Hargreaves then points out a fact that the rich are getting richer, while the poor and the middle class are falling behind. Another fact concerning this issue is the 400 richest people outnumber the wealth of the bottom 150 million put together.

An important factor in the creation of inequality is variation in individuals’ access to education (Becker, et. Al, 2007). According to Bosworth et. Al, (1999) education in a field that requires or demand a high number of workers, creates high wages for those with advance education. As a result, those who are unable to afford good quality education or choose not to participate in schools or colleges, generally receive much lower wages and thus it lowers aggregate savings and investment. In particular, the increase in family income and wealth

Income inequality has affected American citizens ever since the American Dream came to existence. The American Dream is centered around the concept of working hard and earning enough money to support a family, own a home, send children to college, and invest for retirement. Economic gains in income are one of the only possible ways to achieve enough wealth to fulfill the dream. Unfortunately, many people cannot achieve this dream due to low income. Income inequality refers to the uneven distribution of income and wealth between the social classes of American citizens. The United States has often experienced a rise in inequality as the rich become richer and the poor become poorer, increasing the unstable gap between the two classes. The

There are a number of reasons for studying the economic consequences of income inequality (see~\cite{dabla2015causes} and~\cite{bertola2014income}). Inequality of outcomes and opportunities in an intergenerational context is discussed by~\cite{black2015poor}, where they give evidence that wealth begets wealth. Inequality of opportunities can result in large social costs, as it can compromise individual's educational and occupational choices.~\cite{stiglitz2012price} also mentions the incentives people have to divert their efforts toward securing favored treatment and protection under such unequal society, resulting in corruption, nepotism and ultimately weakening the confidence in institutions. Besides, empirical evidence sugests there are

The history of income inequality in the United States has affected the lives of many citizens. The problem with inequality has evolved over time and has influenced previous public administration policies in the U.S.

In my opinion education is the best tool to fight income inequality. I think that income inequality is a major problem but it is like anything else it can be mixed. If people really wanted to solve their financial problems they would attend school and to open doors for better opportunities and not settle for less in this case minimum wage. I also believe the government is doing something about it. I assist those in need.

The growing inequalities in our society and individual’s motivation to work can be explained through different theoretical perspectives. This essay will provide examinations on two theories, the functionalist perspective of social stratification and Max Weber’s perspective of rationalisation and life chances. In the first section of the paper, the differences and similarities of these theories’ understanding of people’s motivation to work are discussed. This will be followed by the comparison of how the two theories explain the general trend of the rise of income inequality. Overall, the essay seeks to contend that the functionalist theory fits better in explaining the general trend of rise of income inequalities as opposed to Weber’s theories.

The growing inequalities in our society and an individual’s motivation to work can be explained through different sociological perspectives. This essay examines two theories, the functionalist perspective of social stratification and Max Weber’s social stratification perspective of rationalisation and life chances. In the first section of the paper, the differences and similarities of these theories’ understanding of people’s motivation to work are discussed. This will be followed by the comparison of how the two theories analyse the general trend of the rise of income inequality. Overall, the essay seeks to provide a comparison between Functionalism and Weberism in analysing the trend of rise of income inequality and people’s

Potential reasons for income inequality in the economy has to do with several aspects. Education has a lot to do with income inequality. Employers are looking at a person’s level of education to determine what pay (non-salary or salaried) they should receive. That’s where the impact comes in to play for income because there is a lot of people who or not determined nor have the personal ability to get an education although it is free. Employers are no longer looking at the amount of experience that you have, but more so what level of education to have obtained. Yes, it’s easy to find a job if you’re are motivated, but that’s not the issue the issue is not receiving the pay that’s even worth working for. Another reason for income in equality

Two forms of structural inequalities that has a definite influence in the way people live and how they live are: education and employment! I am a firm believer that education can lead to equality for everyone on Earth, with education we have the possible power to create a world where no one is poor and struggling with the burdens the poor or even the lower class hold. Not all education, however, is accessible for one as it is for another, which is the obvious problem. Since not all of us are capable or can afford a college/university level education, we are forced to be fit into a class and are categorized based on how much information we know/what we don’t. Even when people get into college they are less advantaged than some of the rest, college classes cost a fortune for many in state students, but

On the problem of income inequality, there are at least three views one can consider. Edward McClelland discusses the apparent changes and disappearance of the middle class. Monica Potts argues that lack of education is a cause of wealth disparity. Gary Becker and Kevin Murphy agrees with Potts on the aspect that those who are less educated is being left behind and discusses a couple ways that we can fix this disappearance of the middle class. On reflection, I am inclined to believe that education as a whole should be emphasized and worked on to help suit a more wide variety of students.

One of the reasons for income inequality is education. The more education one has, the greater their possibility of making a higher income. Based on information provided by the U.S. Bureau of Labor Statistics, “earnings increase and unemployment decreases as educational attainment rises” (Vilario 2016).