Income Inequality Essay

1405 words - 6 pages

Income Inequality’s affect on Society
Income inequality is on the rise and it is evident in most cities throughout the United States. There are individuals with six to seven figure incomes and then there are individuals whose income is just enough to get by. The middle class is not as prominent as the upper and lower class. This should be the other way around. There should not be so many cities with very wealthy neighborhoods right next door to low class, rundown neighborhoods, with little middle class households. Digging deeper, 47.6% of the money in the United States belongs to individuals that receive $98,200 or more (“Distribution of U.S. family income”, 101). The middle class should be much more noticeable with the upper and lower classes being a little more rare. The middle class can be restored in order to lessen the income gap and therefore create a more perfect utopia.
The income gap is actually not staying where it is or getting smaller, it is growing. For this reason the middle class can be grown to decrease the income gap. At a local level the inequality grew from ‘07-’12 mainly from the poor getting poorer, not the rich getting richer (“US Income Inequality”). Some people might wonder, if this is true only at a local level, then how is income inequality growing nationally? To answer this question, rich people are gaining even more wealth at a national level while people that are poor are falling deeper into poverty at a local level (“US Income inequality”). According to Robert Lieberman, during 2009 the income of the top 5% families went up while everyone elses’ incomes plummeted, on average. Counteracting that, during the recession the wealthiest got even more wealthy. He also mentioned that the total income among the upper class went up 8% during the 1960’s and more than 20% in 2010, leaving the poor behind (Lieberman). According to the article US Income Inequality, in most cases the wealthy did not make mammoth gains, but the inequality got larger when more lower income people had weak recoveries from the recession. Also, after the recession the ratio between a annual income of a top 5% family and a bottom 20% family was 9.1:1 (“US Income Inequality”). The United States’ economy at this point is like a winner take all where the rich have all of the money (Lieberman). The middle class is hardly measurable.
Furthermore, with location, the size of the income gap changes. Therefore, the target areas for middle class growth can be identified. According to US Income Inequality, inequality is higher in bigger cities. This article also states that San Francisco is a terrific example of a colossal gap between the rich and the poor. Cities with a more prominent middle class and thereby a smaller income gap, can be generally found in the south and the midwest. They tend to be large, surrounding neighborhoods that in other cities would be suburbs (US Income Inequality). This makes sense considering that it is very expensive to live...

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