Economic policy; economic inequality
Economic inequality refers to the uneven distribution of resources, wealth, and income of different socioeconomic groups in an economy. It creates a gap between the highest and lowest pay in a society. According to Irtapil (2020), greater inequality hinders economic growth, with land and human capital inequality reducing growth more than inequality income. Economic equality creates a gap between the poor and the rich.
Some factors that lead to economic equality are; education, gender, geographical location, social class, and health care. In education, those with higher schooling receive higher annual income than those with lower levels of education. There is a gap in our society between males and females. The males are more considered than females. Geographical location is a factor leading to economic inequality because; some places are resources endowed than others, for instance, major cities and lower cities.
Social class is an issue of economic inequality because those with higher social levels are prioritized in services compared to those in the lower class. In health care, some individuals are charges more than others for assistance.
Possible solutions to economic inequality are; education system should be improved, policies should be drafted on equitable resources allocation and gender reform policies, and the government should promote local manufacturing rather than import, raising the minimum wage to favor low income earning bracket, and developing marginalized areas.
In conclusion, economic inequality can be a menace to a country if not solved. The consequences are severe, and they should be dealt with immediately. As Hunt (2020) says, solving economic inequality, tens of millions of the poor and near-poor would be better off.