Income Inequality Dbq

David J Lynch says that, “ [s]ocieties that manage a narrower gap between rich and poor enjoy longer economic expansions”, however, in the United States the gap between the have and have-nots has widened (source C). “This country is just getting worse and worse and worse … and that is not a recipe for stable growth” (source C). If we do not do something soon our capitalist country will fall. In order for the income inequality gap to lessen to create a more stable economy the government must invest in education and unionize workers and not provide higher taxation for the top one percent. Throughout the years, “ U.S income inequality has been increasing steadily since the 1970s and now has reached levels not seen since 1928” (Source A).

Though it is vital for the government to put some measures in place, some ideas are not the best ideas. For instance, high taxation on the wealthy. Some people claim that increasing taxes on the wealthy will “raise the top marginal tax rate and close tax loopholes that disproportionately favor the wealthy” (Source E). It may be true that it will close loopholes for the wealthy; however, “ heavy taxation and regulation will simply drive [the wealthy] to operate elsewhere [leading to] a huge net loss to the country” (Source D). This means that the country will get poorer and in more debt from importing goods from the companies that left, thus, the government will have to raise taxes, which will take money from the poor and what little middle class we have left. Without the free reign of the capitalist society, America would not be America. Their are however things the government can do to lower the income gap without putting consequences on the

The best thing the gonvornment can do is invest in education, because “[m]ore financial education in public schools is a must” (Source H). Children should learn how to do the “basic Suze Orman stuff “ like “how to make a monthly budget” and “ what saving and barrowing mean“ and “how wealth builds over time” ( Source H). If we do this people can learn at a younger age how to handle their money and be responsible. In order for this to work the gonvornment must allow the schools to teach to the individual because students learn differently. They also need to allow the teachers to teach to the students the way the students learn which will make a better educated person and a better class of