-
Essay / The issue of rising economic inequality in America
Increasing economic inequality is a significant problem in the United States. Recent years have seen a marked slowdown in growth in the world's richest economies, with none returning to pre-crisis growth trends. Rich economies are fundamentally incapable of creating sufficient demand to continue growing. The dominant political consensus has suggested for decades that inequality is the price to pay for economic growth. He states in the article “A rich country with millions of poor people. A country that prides itself on being a land of opportunity, but in which a child's future prospects depend more on the income and education of their parents than in other advanced countries. (Stiglitz, 2014, p.89) In a country that believes in fair play, but in which the richest often pay a lower percentage of their income in taxes than the less well-off. A country in which children pledge allegiance to the flag every day, affirming that there is “justice for all,” but in which, increasingly, there is justice only for those who can afford it. Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get the original essay. The articles further state: "Too much of the wealth at the top comes from exploitation, whether from the exercise of monopoly power, from taking advantage of loopholes in corporate governance laws company to divert substantial sums of corporate revenue to pay outsized bonuses to CEOs unrelated to actual performance, or a financial industry devoted to market manipulation, predatory and discriminatory lending, and abusive financial practices. credit cards. (Stiglitz, 2014, p. 89) This means that inequality undermines meritocracy, so that the most talented do not rise to the top. Instead, the children of the elite remain in positions of power, making the economy less innovative and less productive. Inequality can also discourage people from making an effort to move up the ladder, thereby undermining work and effort. If inequality is a problem, how can we fix it? Many argue for greater redistribution from the rich to the poor. But how that money is distributed and spent is crucial. Some of the discontent is not purely economic. Furthermore, “if we actually made companies pay what they're supposed to pay and closed the loopholes, we would raise hundreds of billions of dollars. With a proper overhaul, we could even create more jobs and investment in the United States. » (Stiglitz, 2014, p.91) But because big companies like Apple and Google who have created products that make America the envy of the world, they use this to their advantage to avoid paying tax federal on companies..