Income Inequality Essay - 938 Words

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†¦show more content†¦Income inequality is necessary for a capitalist society to thrive as it provides competition, hard work, and innovating ideas (Sutter). Saez presents his credible data through the use of ethos. Saez is a well-known econom ics professor who devotes time to publish reports about the income inequality in America. Although his reports are strictly opinion, he uses enough historical statistics and actual facts to make his writing credible. Many historical theories lay a foundation that helps prove income inequality is necessary. Social Darwinism is a collection of theories that explain why the rich get richer, while the poor become poorer. Social Darwinists generally claim that the strong and successful people should see their wealth and power increase while the weak and unmotivated should see their wealth and power decrease. This is an excellent explanation for the cause of income inequality and why it shouldn’t be stopped. Wealth can sometimes be a direct result of the hard work and dedication of a person that is motivated to become successful in life. While most people may work as hard as they can and only make an average income, there are the few exceptional cases where people can prosper and r ise to great economic stability. For all other citizens, the reality is they may be motivated and driven to become successful just like everyone else, but can only manage a low or middle class job. This realityShow MoreRelatedThe Inequality Of Income Inequality Essay2206 Words   |  9 Pagesâ€Æ' Abstract: One of the social issues concerning power, status, and class in American society today is income inequality. The income gap between the social classes has increased drastically throughout the last few decades, creating a significant gap between the wealthy and the poor. This gap has become so large that the middle class has nearly diminished, creating a social class comprised of the rich and the poor. The significant gap between the two social classes is unhealthy for the economy becauseRead MoreThe Inequality Of Income Inequality1229 Words   |  5 PagesIncome Inequality Income inequality has been a major concern around the world, and it mainly links to how economic metrics are distributed among individuals in a country. Economists generally categorise these metrics in wealth, income and consumption. Wilkinson and Picket (2009) showed in their studies that inequality has drawbacks that lead to social problems. This is because income inequality and wealth concentration can hinder or delay long term growth. In 2011, International Monetary Fund economistsRead MoreIncome Inequality3032 Words   |  13 PagesIncome inequality Name Date Abstract 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. 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[N.p.]: Westview Press, 1999. eBook Collection (EBSCOhost). Web. 15 May 2013. Frank, Robert. â€Å"Income inequality: Too Big to Ignore†. Graff, Gerald, Cathy Birkenstein, and Russel Durst. They Say, I Say: The Moves That Matter in Academic Writing : With Readings. New York: Norton, 2012. 432-447 Print. Murray, Harry. Deniable Degradation: The Finger-ImagingRead MoreIncome Inequality And Poverty989 Words   |  4 Pages â€Å"Income inequality has no necessary connection with poverty, the lack of material resources for a decent life, such as adequate food, shelter, and clothing. A society with great income inequality may have no poor people, and a society with no income inequality may have nothing but poor people† - Robert Higgs. When people think of income inequality they picture poverty and people not having basic necessities. However income inequality is not just a connection to the poor. 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The problem with income inequality is its rapid increase, and the lack of effort to close that gap between the rich and the poor. According to Robert Franks in â€Å"Income Inequality: Too Big toRead MoreThe Issue Of Income Inequality Essay1496 Words   |  6 Pagesdeeply divisive issues in the United States is the question of income inequality: whether it exists and whether we are obliged to address it. The â€Å"American Dream† ideology which permeates most aspects of our daily life, influences an automatic response to income inequality to be that those at the bottom are not working hard enough and that those at the top have earned their wealth through hard work. 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