Comparative Essay of “Confronting Inequality” and “The Upside of Income Inequality”
“30% BONUS-ANALYSIS #2” Inequality is a problem that affects the entire world. This issue involves people of all age, race, gender, and class. A few authors I have read who reflected on this issue are, Paul Krugman, Gary Becker and Kevin Murphy. Krugman’s article, “Confronting Inequality”, argues why and how there is problem with large differences between wages of the poor and wealthy. Becker and Murphy’s article, “The Upside of Income Inequality”, argues the importance of education, and how college gives us the skills and knowledge we need to earn a high income. These authors’ ideas are similar yet different regarding economic equality when reflecting on the …show more content…
Krugman explains in detail how the government can help with economy inequality. As a matter of fact, he believes government action is one of the the only ways. Krugman concludes that in America, high incomes are taxed less than what they were taxed the past. In addition he states, “Thus raising taxes on the rich back toward historical levels can pay for part, though only part, of a stronger safety net that limits inequality” (570). In addition, Krugman believes that “aftermarket policies” and “The Great Compression” can also lessen inequality. The action these both require, is increasing the minimum wage. However, raising the minimum wage mainly only affects lower paid workers. Brandon King agrees with this by the statement, “In reality, raising the minimum wage, which makes labor more expensive, could force companies to cut back and hire fewer workers” (613). With that being in mind, Krugman switches his attention towards unions and putting an end to the “thirty-year tilt of government policy”. He states, “The drastic decline in the U.S union movement was not, as is often claimed, and inevitable result of globalization and increased competition” (576). Krugman believes that the U.S government should revitalize and modernize unions, through the Employee Free Choice Act. In addition, he informs his readers about how unions tend to give equal wages to their members, and give higher wages to those “in the middle of wage distribution”. Switching sides, Becker and Murphy strive for inequality, so their views are far different than Krugman. They argue against government actions, and believe the only thing society should focus on is raising the fraction of education. They believe, instead of government action, “A more sensible policy is to try to take greater advantage of the opportunities afforded by the higher returns to human capital and encourage more human capital
“30% BONUS-ANALYSIS #2” Inequality is a problem that affects the entire world. This issue involves people of all age, race, gender, and class. A few authors I have read who reflected on this issue are, Paul Krugman, Gary Becker and Kevin Murphy. Krugman’s article, “Confronting Inequality”, argues why and how there is problem with large differences between wages of the poor and wealthy. Becker and Murphy’s article, “The Upside of Income Inequality”, argues the importance of education, and how college gives us the skills and knowledge we need to earn a high income. These authors’ ideas are similar yet different regarding economic equality when reflecting on the …show more content…
Krugman explains in detail how the government can help with economy inequality. As a matter of fact, he believes government action is one of the the only ways. Krugman concludes that in America, high incomes are taxed less than what they were taxed the past. In addition he states, “Thus raising taxes on the rich back toward historical levels can pay for part, though only part, of a stronger safety net that limits inequality” (570). In addition, Krugman believes that “aftermarket policies” and “The Great Compression” can also lessen inequality. The action these both require, is increasing the minimum wage. However, raising the minimum wage mainly only affects lower paid workers. Brandon King agrees with this by the statement, “In reality, raising the minimum wage, which makes labor more expensive, could force companies to cut back and hire fewer workers” (613). With that being in mind, Krugman switches his attention towards unions and putting an end to the “thirty-year tilt of government policy”. He states, “The drastic decline in the U.S union movement was not, as is often claimed, and inevitable result of globalization and increased competition” (576). Krugman believes that the U.S government should revitalize and modernize unions, through the Employee Free Choice Act. In addition, he informs his readers about how unions tend to give equal wages to their members, and give higher wages to those “in the middle of wage distribution”. Switching sides, Becker and Murphy strive for inequality, so their views are far different than Krugman. They argue against government actions, and believe the only thing society should focus on is raising the fraction of education. They believe, instead of government action, “A more sensible policy is to try to take greater advantage of the opportunities afforded by the higher returns to human capital and encourage more human capital