Over the years with economies, increasing at an astronomically fast pace, we have found ourselves in a dire predicament as wage inequality between the top 1% and the lower 40% increases day by day as outlined by the UN Sustainability Goal Number 10. Sustainability goal Number 10 describes their desire to decrease poverty by 2030. Unemployment rates are clocking in at an all-time high in recent years. Wage inequality; however, it is not a current issue as the working class never has the right resources and support to pull themselves above the poverty line. Wage inequality and unemployment have been a pressing problem, with no effective and consistent solution in sight as outlined by UN Sustainability Goal Number 10. The principal cause of these issues, as described by John Harwood of CNBC, is the changing. Breaking of rules as "Rising wealth confers political power, and it has allowed economic winners to reward themselves further." Which associates one of the main factors of wage inequality is the rich who are not held accountable for their actions and are free to do whatever they choose to. Another cause of wage inequality is the fact that education affects wages as "receiving the same amount of education does not mean receiving education of the same quality." Quality education is an essential requirement to get a job in today's society. If people do not have access to quality education, they have no hopes of getting a job and boosting their families above the poverty line. This disparity between the top 1% and the lower 40% is not an issue centralized only in the US and other Western countries. This disparity between the top 1% and the lower 40% is not an issue centralized only in the US and other Western countries but has spread worldwide. In India, the overall poverty rate in 2017-2018 "the estimated overall poverty rate went up nearly a percentage point to 23 percent". It was also recorded that "In the period between 2006 and 2015, ordinary workers saw their incomes rise by an average of just 2% a year while billionaire wealth rose almost six times faster". This problem, while the lower class cannot grow their wealth and remove themselves from poverty while the top 1% continue to get richer. The lower level cannot get a sustainable income source to allow themselves to battle wage inequality and thrust themselves into the middle class. The legislation is taking notice and are making plans based on evidence from "over 150 countries spanning more than 30 years shows that investing in healthcare, education and social protection significantly reduces inequality."
If the Government invested in free public services for more impoverished people, they would accumulate their wealth. "According to calculations by Oxfam, if a third* reduces inequality in India, more than 170 million people would be lifted from poverty. Government spending on health, education, and social protection is low and, more often than not, subsidizes the private sector." By making plans and fighting to reduce inequality people would pave the path for a more sustainable future.
References
Harwood, John. “5 reasons why income inequality has become a major political issue” CNBC, June 5th, 2019,
https://www.cnbc.com/2019/06/05/5-reasons-income-inequality-has-become-a-major-political-issue.html.
Thompson, Erik. “Why don’t Americans save more money”? The Atlantic, April 19th, 2016,
https://www.theatlantic.com/business/archive/2016/04/why-dont-americans-save-money/ 478929/
BusinessToday.in. “Income inequality gets worse; India's top 1% bag 73% of the country's wealth, says Oxfam” Business Today, January 30th, 2019, https://www.businesstoday.in/current/economy-politics/oxfam-india-wealth-report-income-inequality-richests-poor/story/268541.html
Others. “Is India committed to reducing inequality? This report finds out more” OxfamIndia, 15th November 2018, https://www.oxfamindia.org/blog/india-committed-reducing-inequality