The Current Widening Income Inequality - 970 Words

The current widening income inequality is due to the substantial income disparity between the top and bottom workers in the U.S. economy. General decline in wage endangered the standard of living for low income family as they struggle with a tightened budget. In order to battle income inequality, policy makers must raise the income of the working poor by expanding tax credit program and increase its effectiveness through major modification. Currently, there is widening inequality in the United States due to the savage income gap between those at the top of the income distribution and those at the bottom. According to the Congressional Budget office 2012 report, from 1979 to 2012 the top five percent of U.S. households had a real income increase of 74.9%, where over the same period the bottom 20 percent had a real income decrease of 12.1%.1 Conversely, according to the Economics Policy Institute 2014 â€Å"Rising America’s Pay† report by Josh Bivens et al, over the same time span the productivity of a typical American worker had doubled.2 In other words, despite the increase in productivity the bottom working class continues to live under income reduction. The situation is even more devastating for worker who have exceeded the stingy federal poverty limit and deemed ineligible for social assistance or only partially subsidized from income tax credit. My proposal is to raise the income of the working poor th rough tax credit subsidy. The end goal of my proposal is to enhance theShow MoreRelatedWealth Gap Between Whites And Minorities Essay1649 Words   |  7 Pagesbecame the powerful country it is today, and although its history can be interrupted in many ways (depending who you ask) one thing that is for certain is that wealth has yet to be distributed equally amongst minorities. According to the article â€Å"Income inequality matter; Extreme gap in wealth makes society unstable.† Philip Meyer claims that the wealth gap between whites and minorities has existed since Ronald Reagans’ term of presidency (A9). Although Ronald Reagans’ term ended many years ago the mistakesRead MoreEducation And Training Centers For Low Income Job Seekers916 Words   |  4 Pagescenters for low-income job seekers in Baltimore County, along with the proposed solution to the specific decision makers. This memo will also explain why the problem is importance and how the solution can h elp improve the overall quality of life for low-income people. Lastly, I have included a few specific references at the end of this memo. Actual Problem Although access to education seems available everywhere in the United States, access to job related training programs in low-income communities seemsRead MorePoverty in the U.S.961 Words   |  4 Pagesarticle in the Economist, the US currently boasts the highest post-tax level of income inequality of any high-income country in the world (Economist 2013). The nations Gini Coefficient – a measure of wealth inequality – currently stands at .42, well above that of other nations such as Switzerland and Sweden, which have Gini Coefficients of .31 and .33 respectively. Unfortunately this high level of income and wealth inequality is growing. 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The mistreatment and unlawful equality and opportunity that these foreigners received became embedded into our history—this endless list includes, just to name a few, the Irish, Chinese, Jews, and most notably the African Americans (Blacks), who became slaves to the American people. Here in the United States, the current social class system is known as the class system, where families are distributed and placed intoRead MorePolarization Between American Politics And Politics1266 Words   |  6 PagesAs with much political science, the concept of polarization can be a bit murky. Inferring from the term itself, one could say that polarization in American politics refers to a widening of the gap between what could be called t he average left-wing and right-wing politician, voter, or ideology on a standard political spectrum. Another examination of the term could result in a definition regarding the lack of cooperation between the two major American political parties. Although, it would be more accurate