Econ 104-7 - Econ1047 18:30 DividingupGDP:Incomeinequality

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Econ 104-7 18:30 Dividing up GDP: Income inequality Big national income pie: Who gets what shares? In a capitalist market economy, we should expect inequality Differences in family background Occupations are rewarded differently Differences in skill, effort, luck Unemployment Perpetuation of differences How much inequality is fair? Equalizing institutions/policies Welfare state policies Social insurance Minimum wages and union Public education and health care Progressive taxation What has been happened with inequality? The share in total national income richest 5% and the richest 1% over time. Inequality has been going up ever since 1977  In 1927, there was the highest point of inequality, then there was a stock market crash.
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This note was uploaded on 10/24/2011 for the course ECON 104 taught by Professor Dolenc during the Fall '08 term at UMass (Amherst).

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Econ 104-7 - Econ1047 18:30 DividingupGDP:Incomeinequality

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