Chapter 12 Ferraro

Chapter 12 Ferraro - also caused a tremendous problem for...

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in the United States the gap between the rich and the poor has increased since 1975. What factors have caused this wealth gap In the United States we have had a growing gap between the rich and the poor and it has been increasing since 1975. A man named Dennis Gilbert examined a period from 1945 though 1975 as a period where the class differences were actually shrinking. The wealth gap since 1975 has just expanded enormously. The top one percent money makers in the United States went from holding twenty percent of the money in 1975 to holding more than thirty-eight percent by 2000. The first reason for this increasing gap between the rich and the poor is going from an industrial to a post-industrial society which created jobs which required people with education or advanced training. Most of these people came from the upper class. During this same time, the industrial work the United States had been doing by mainly a lower class, was moving over seas where it could be made cheaper. Downsizing has
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Unformatted text preview: also caused a tremendous problem for the lower income groups. Secondly, the trends in personal life such as having kids, getting divorced, and staying single have had an impact on the growing gap between the rich and the poor. This is because most of the female oriented households hold a lower income. Substantial tax cuts have not helped the gap either. Instead it has caused the gap to widen even more because the cuts tends to only help the rich get richer. Finally, the influence of labor unions because the amount of unions has declined. Labor unions help get higher wages for the lower class but with the decline there are less and less people getting higher wages. This chapter really shocked me in how much just the top one percent of the United States makes in comparison to all of the United States. If we as the middle class can afford things like ipods and flat screen televisions, just how are the top one percent spending their money?...
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