Why is Income Inequality Bad?

When you think of the America, what comes to mind? Opportunity? Wealth? Equality? If it’s equality that comes to mind, then you should know that America may not be as equal as you think, according to the CIA and United Nations.

American cities with the most income inequality include some of our largest, such as Atlanta, New Orleans, Washington D.C., and Miami. New York City is the ninth most unequal city on the planet. International cities with similar levels of income inequality include Abidjan, Ivory Coast, Buenos Aires, Argentina, Nairobi, Kenya, and Santiago, Chile.

But those are just cities, right? Let's see how we, as a country, compare internationally.

The U.S. is ranked 39 out of 136 (with Sweden ranked 136 and the most equal). Some of the countries ranked most closely to the U.S. in terms of family income distribution include Rwanda (35), the Phillippines (36), Uganda (37), Jamaica (38) and Iran (42).

More than 70% of the countries measured have more equitable distribution of family income than the U.S. That includes Cambodia (48), Russia (51), China (52), Vietnam (77), India (79), Egypt (90), France (98), Pakistan (109), and over 85 other countries.

Moreover, in 2007, the United States had the fourth highest rate of income inequality of all OECD countries. What’s even worse? We also had the fourth highest rate of relative poverty; over 6% worse than the average country.

Okay, so we’ve got income inequality. But, why is that so bad? Well, let’s take a look at what inequality has led to:

It seems extreme income inequality is a pretty precarious position, and it has already made for some devastating results. It’s time to take a stand before it gets even worse.

Showing 4 reactions

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  • Katrin Lime
    commented 2024-04-02 10:51:42 -0400
    he comparison of American cities with international counterparts adds depth to the analysis, highlighting the global scale of this issue. Moreover, the inclusion of statistics regarding the U.S.’s ranking among other countries sheds light on the magnitude of the problem. Additionally, readers may find further elucidation on the topic by exploring resources such as the IB extended essay service https://essaysprofessor.com/write-my-ib-extended-essay.html for comprehensive examinations and insights
  • mudasir saleem
    commented 2023-02-24 13:51:15 -0500
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  • Jake Muller
    commented 2019-03-28 19:45:43 -0400
    Geroge, I’m pretty sure it’s “correlation is not causation” lol.
  • George Turner
    commented 2019-02-13 18:24:37 -0500
    Causation is not correlation. In fact, here, couldn’t these statistics be read EXACTLY the opposite way: that teenage mothers, obesity, infant mortality, mental illness, imprisonment and poor education and health-care CAUSE income inequality. Why does it matter? Because we may make better policy choices. So, here, how about we focus on reducing all those bad things, and see if that doesn’t help everyone. (Just taking money from the rich, unless reinvested wisely, isn’t actually gonna help. The history of governmental redistribution of wealth is a series of disasters, to be honest. Now, we may have to raise taxes on those who can afford them to pay for improvements I mentioned, but JUST taking from the rich is not the answer.)


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