Income inequality is a much more complex issue than it seems. It has grown so out of control that politicians are searching for solutions to close the expanding gap.
Globalization is supposed to be good for our economy. It encourages efficient markets, increases competition and disperses wealth equality throughout the world. However there is much debate as to whether globalization plays a factor in the income inequality gap in the United States.
Another potential cause is technology. It’s suspected the growth of technology reduces jobs and has taken over many blue-collar jobs that once paid well. Companies are turning to technology because of its efficiency. According to Stephen Hawking, “Everyone can enjoy a life of luxurious leisure if the machine-produced wealth is shared, or most people can end up miserably poor if the machine owners successfully lobby against wealth redistribution.”
The United States has taken small steps to close the gap. Minimum wage has gone up in many states. New York and California recently agreed to raise their minimum wage to $14 by 2022. Raising minimum wage is one of the many solutions to improve the nation’s inequality.
Other ways we can address the issue of income inequality is to provide earned sick leave and paid family leave, which would not only raise workers’ pay but also give them more economic security; strengthen and protect workers by strengthening collective bargaining rights to help give workers the leverage they need to bargain for better wages and benefits, and set high labor standards for all workers, and support strong enforcement of labor standards to protect workers.