Inequality in income distribution is a visible trend in countries worldwide. Many variables factor into what causes the disproportion such as countries’ taxes and minimum wages. The state of income distribution in the United States of America has changed over time and is currently experiencing heightening inequality. Additionally, there are many debates between the conservatives and liberals about why this trend is happening and how it should be addressed. The conservatives feel as though it will fix itself once the economy begins to grow again, while the liberals believe that increasing taxes and implementing new policies will help aid its reduction.
There are many reasons for the growing income inequality gap in the United States of America. Research on the current state of the income distribution shows increasing inequality of the wealthy …show more content…
For example, the poorest half of the world’s population is equivalent to the 85 richest people in the world’s wealth. Furthermore, the recession from 2007-2009 enabled America’s richest families to progress more than everyone else. There was a 31% income increase for the top 1% in the United States during the three-year recession whereas the other 99% had a less than 1% increase. This resulted 95% of the United States income gains were acquired by the richest. The richest families the richest families now possess half of all personal income whereas the lower half own only about 5%, which is unheard of since 1917 and even more than what has been seen since the 1920’s.
The distribution of income has changed throughout the course of United States. During the Gilded Age, between the 1870’s and 1900’s, there was rising inequality, which caused the progressives to want taxes imposed on the rich. In 1913, the 16th amendment of the U.S. Constitution allowed the institution of
There are many reasons for the growing income inequality gap in the United States of America. Research on the current state of the income distribution shows increasing inequality of the wealthy …show more content…
For example, the poorest half of the world’s population is equivalent to the 85 richest people in the world’s wealth. Furthermore, the recession from 2007-2009 enabled America’s richest families to progress more than everyone else. There was a 31% income increase for the top 1% in the United States during the three-year recession whereas the other 99% had a less than 1% increase. This resulted 95% of the United States income gains were acquired by the richest. The richest families the richest families now possess half of all personal income whereas the lower half own only about 5%, which is unheard of since 1917 and even more than what has been seen since the 1920’s.
The distribution of income has changed throughout the course of United States. During the Gilded Age, between the 1870’s and 1900’s, there was rising inequality, which caused the progressives to want taxes imposed on the rich. In 1913, the 16th amendment of the U.S. Constitution allowed the institution of