Some in the middle classes are losing their jobs and getting into deeper debt. The ultra-rich are gaining in wealth and influence at an unprecedented rate. There is an ongoing income gap between the rich and the poor. So, who is really benefiting from this situation?
According to new research findings, the top one percent of income earners in America have captured a large majority of the overall income growth over the last two decades. Meanwhile, the top one percent of the country’s population has seen its share of that increase drop dramatically.
These figures, according to some experts, demonstrate the widening income gap, which is becoming even wider as the economy weakens. If income gains are being enjoyed by only a small percentage of the population, the top one percent of earners will continue to have a disproportionate amount of power over the country’s economic future.
But there is also a potential solution to the income gap. It is not simply about getting a better job or taking on a more challenging job. People who earn less money often find it harder to achieve more.
The income gap can be solved by getting a better education. There are many programs that will help people who need assistance in achieving a higher education.
The income gap is also caused by the fact that many people are suffering from the effects of the recession. The recession is not only hurting the rich, but many middle class families have had a difficult time making ends meet during the last few years.
The income gap is not the only reason for the rising cost of living in the US. The rise of oil prices, the increasing costs of health care and the decline in the number of homeowners are also putting a significant strain on the pockets of many American families.
In order to ensure that the income gap is not increased any further, it is important to create a better system to distribute the wealth created in America. This will mean increasing the amount of money going into the pockets of the middle class. and decreasing the amount of wealth owned by the ultra-rich.
The first step that should be taken in solving the income gap is to create a better tax system. A flat tax system will result in a fair distribution of wealth, where those with high incomes pay a little more in taxes, while those who have low incomes pay significantly less.
For those who do not earn enough money to qualify for a tax benefit, a basic income program might be able to provide a basic level of security and dignity. A basic income can be used to supplement existing income.
Money that is saved through this method can then be used to take advantage of investments, such as educational grants and government loans. This money can be used to buy a home, pay off credit card debt, or start a business.
Money that is used to purchase an education can be used to purchase books, tuition at a private college or university. This money can also be used to help pay for other expenses that are related to a child’s education. Some middle-class families may be able to qualify for student loans that are based on their children’s future earnings.
Any extra money that is left over can be invested in a savings account that can be used to enhance the quality of life for future generations. This money can be used to build a retirement account, make investments, or use to pay off student debt.