Student’s name Subject Title
Lecturer’s Name
Date of submission
Income Inequality
Introduction
The problem of an increase in household income inequality has been a major talk point in political discussion and public policy. According to Winston Churchill, inequality is unavoidable especially in capitalist societies. However, President Barrack Obama views inequality as not only a major problem but as a defining problem of this generation. It cannot be disputed that income inequality in the United States has been rising over the past four decades. The trend is evident when income is measured both before and after taxes. The income inequality in the U.S today can be compared to those of other developed countries. However, the country ranks amongst the worst in inequality especially after taxes and transfers. This means that less income that is received from higher income households trickles down to lower income earners. A recent study in 2011 revealed that the top earners income increased by around 275% after income transfers and federal taxes. Today, there is ongoing debate as to the effects, causes and solutions of the income inequality. Over the years, debates have arisen whether the income inequality gap in America is a social or an ethical problem. Despite businesses breaking profit records, these income gains have been concentrated on the top 1% (Glenn 58). It is often argued that income inequality is a social injustice and that it is unfair. However, social injustice needs to be looked at from two perspectives, the sociological and moral side. The question I ask myself is whether inequality is a moral problem. In this school of thought, it does not matter whether one owns a whole city as long as everyone has an equal opportunity to succeed. There is nothing unjust with having too many poor people in a rich country. In fact, may be bad but not unjust.