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Income Inequality In Australia Essay

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Recommendation Reducing inequality in each countries is a serious issue that nowadays many leaders of a country are concerned with. There are many strategies that are occurred to help unequal income distribution in each country. The good example is direct or indirect transfer payment for poverty. According to (), cash transfer is to solve economic inequality in short-run period. People get money from the government, then they spend it fastly and it is gone. It is not the effective solution for long-run period in order to increase employment and reduce poverty, but this way also can help sometimes, depended on a circumstance and the goal of government. Denmark is the country which is ranked at the number one out of>> countries that has lowest income inequality. Hence, Denmark is a good example to look at how this country handle and manage income inequality. Denmark believes that to reduce inequality in the country is the combination of many methods : …show more content…

Taxes are collected by people rely more on income tax, following by production and import tax, and other tax. The government change rate of income tax to reduce marginal tax rate which leads to development in income tax. Tax bracket for the middle class increase, so less people pay middle tax. It also has the allowance of employment for employees who earn low-wage income. In the same time, the bracket for top tax also increase, so the government can exercise lower revenue or tax, but marginal tax does not decrease as middle and top taxes which the government can collect. Hence, income inequality in 2007 to 2009 declines. However, Denmark reform many times of taxation. The government reform again. The middle tax is still the same, but high income people are collected less tax. Therefore, there is inequality in income distribution again. However, it is balanced by increasing allowance for low income

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The root of the inequality issue lies in the government policies, as they hold the power to determine where the money lies on the spectrum of the rich, middle class and the poor. Normally, when an economy is suffering, employment as well as wages adjust accordingly and sales as well as profits suffer as well. However, because of this inequality employment rates and wages actually suffer while the sales profit. Political forces, as much as economic ones are what leads to inequality. As the government controls the distribution of sources as well the distribution of income that comes from a market.

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Income inequality is still a problem in America, but there are ways to fight against it. Job disadvantages and food drives both prove that income inequality still exists in America. According

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Australia has experienced a steady growth in economy during past twenty years. As a consequence of the rapid growth in economy, both labour and capital earnings rose and benefited to all households (Greenville, Pobke, & Rogers, 2013). Furthermore, among OECD countries, Australia achieved the second highest position in average income increase from the mid-1990s to the late 2000s (Fletcher & Guttmann, 2013; Greenville et al., 2013). Although the economy is shown a stable growth, income inequality is flouring across Australian states due to fundamental changes like privatisation, internationalisation of financial sector and so on (Johnson, Manning, & Hellwig, 1998).

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MIDDLE CLASS MUSLIMS IN INDONESIA: THE RISE OF JIL AND JIMM AGAINST ISLAMIC RADICAL MOVEMENT A. Background “The middle class is always rising” is a saying written by Burrows for picturing a group with a quite popular identity among historians and that group is mostly linked to many historical movements in Europe, whether it was in medieval, early modern, modern or contemporary European history. In the first step of the growth of European middle class, Burrows also marks out that the middle class was behind the growth of the nation state, the civil war in the United Kingdom, and also behind the industrial revolution in France. These depicts that the middle class was the most important social and political force which has been able to change

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Some might argue that the high taxation is preventing people to become a rich; therefore, social welfare programs that are causing a high taxation is not good. However, their statement is not true, because when there are rich people, there are always poor people, which means there are always people who are suffering under the government like America where there is no high taxation with not enough government support on necessities to live. In Denmark, most people are in middle class. Therefore, in

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There are people who work 40 hours a week and are still in poverty; this is a highly prominent issue. The uneven distribution of wealth, known as wealth inequality, is a problem that plagues not only America but also the world. With wealth inequality, there are two main issues and one solution to those issues. The problems are that the wealth in America is unevenly distributed and there people in America who work 40 hours a week and still have very little money. Wealth inequality is the root of all problems faced in America.

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Income inequality is a global issue that need to be addressed and is a threat to the individuals or household with low income. In today’s world the rich are becoming rich while the poor are deteriorating and going below the poverty line. To me, imposing high income taxes would not bring an immediate solution only that, it accelerates the burden. Because the higher the tax rate, the higher the rate of poverty subjected to the low income individuals. Due to that, the government should provide quality education to the citizens so that they become self-reliant in the future and experience high living standards.

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3.1 How income inequality affect on people live in America. The income gap in America affects people, who live in this country. The issue has a strong impact in America’s society; in particular, the nutritional disparity between rich and poor people. In USA, the food gap becomes the top signal for the class distinction, but it used to be clothing or fashion. The food inequality in America is not only influencing the poverty, it is also cost hundreds of billions of dollar per year because of Non Communicable Diseases (NDCs) (Ferdman, 2014).

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The problem with the widened wealth gap is that the inequality may harm the quality. Meaning that those in the higher classes see it as you can use the money with no restrictions. However, economist believe that the “relationship between inequality and economic freedom, with the possibility that policies that are meant to reduce inequality will reduce economic freedom, which will then only make inequality worse.”

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The federal tax system is plagued with issues: It doesn 't raise sufficient revenue to back government spending, it is unpredictable, it makes results that are unreasonable, and it impedes monetary productivity. This part examines a few approaches to enhance charges, including making an esteem included duty, expanding natural taxes, improving the corporate expense, treating low-and center pay workers evenhandedly and productively, and guaranteeing suitable tax collection of high-wage family units. A good tax system raises the incomes expected to fund government spending in a way that is as basic, evenhanded, and development well growth as could reasonably be expected. The United States does not have a good tax system.

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“Time magazine, reporting on recent high-impact publications in clinical gene therapy, asked the question: ‘Is gene therapy finally ready for prime time?’” (Herzog, p. 2) To answer Herzog’s question, yes. It is time for an ethical form of research to be used. If a form of medical research can help you or your child, wouldn’t you want it to help them?

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The article says, “While the top 1 percent have seen their incomes rise 18 percent over the past decade, those in the middle have actually seen their incomes fall.” (Stiglitz 2011) While the rich are getting higher incomes prices the poor are getting higher income by taking it from the one in the middle which therefore, makes them get a lower income percentage. America has fallen behind because of not being an equal country to the population by the income equality there is a huge gap between the income being earned by the poor and the rich. The rich are wealthy and the poor depend on the government for everything. As stated in the article, “America lags behind any country in the old, ossified Europe that President George W. Bush used to deride.

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On the one hand, providing state subsidy might be a good tool for this challenge. In this way relatively poor people in society are helped to increase their welfare and to limit inequality. On the other hand, there is the possibility to decrease inequality by limiting some of the welfare of the relatively rich people in society. This can be done by raising taxes on luxury goods while keeping the tax on other goods the same. However, a sales tax on

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991 Words | 4 Pages

Also the loopholes in tax laws make it easy for corporations and wealthy individuals to get out of paying their fair share to avoid any tax burden. Goldman Sachs and the Koch brothers are examples that show the wealth inequality gap increasing as they do not pay their rightful amount of

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And assets being the stuff that you own: your car, your house and your cash money is also an asset. It is the job of the government, leaders and citizens to ensure that the wealth and income is distributed equally among the population. However, when this fails due to corruption, discrimination among other causes the country is unable to move forward economically, further leading to poverty and civil unrest and other consequences. Surprisingly, statistics show that wealth inequality is not limited to only developing countries, but also some of the most developed countries. America, Israel and Greece are one of the countries with the worst income inequality.

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