Income Inequality Means That
This all increases inequality across different income groups and between the young and old.
Income inequality means that. Income inequality depresses economic growth since more people are making less money and therefore have less to spend. For high income countries such as scotland it seems that socio economic inequalities are one of the most important factors in determining overall health and the extent of health inequalities. Income disparities are so pronounced that america s top 10 percent now average more than nine times as much income as the bottom 90 percent according to data analyzed by uc berkeley economist emmanuel saez. Read banking finance and income inequality free pdf 16 pages.
A gini coefficient of 0 corresponds to precise equality while a. Income inequality however has to do with the distribution of that income in terms of which group receives the most or the least income. According to a report by oecd the main mechanism. A gini of one means that one worker earns all the income and everyone else zero.
Last but by no means least there is a widely used summary method of calculating inequality that is known as the gini coefficient. Income inequality also means a serious decrease in the viability of social mobility for those in lower income brackets. Income inequality refers to the extent to which income is distributed in an uneven manner among a population. Income inequality varies by social factors such as sexual identity gender identity age and race or ethnicity leading to a wider gap between the upper and working class.
This means that reducing income inequality across a population is an important component of any strategy to reduce health inequalities. The evidence compiled in this paper suggests that the current monetary system contributes to the growth of inequality through several channels. Income inequality involves comparing those with high incomes middle incomes and low incomes not just looking at those below or near the poverty line. This outcome is not necessarily bad as many households depend upon the earnings of a single individual assuming.