Income inequality is one of the biggest struggles of our time. This is a problem not affecting America only, but also the rest of the world. It seems we have stepped back into Robin Hood times where the rich get richer and the poor get poorer, and there is seemingly no end in sight.
It was quoted in 2014 that over the next 12-18 months, Asia would be affected by the deepening income gap the most, at a startling 25 percent, while the Americas will trail right behind at 18 percent. Europe, Africa and the Middle East are not far behind, their numbers resting at around 12 to 14 percent.
What this basically means is that no matter the country, the poorest part of the population holds less than 10 percent of the overall wealth. This in itself is enough to make any country implode on itself. The reason simply being if the majority of the population has no money to sustain economic growth, growth is impossible.
In America, the top ways to solve the income gap are to look at tax policy, to improve education, and to redistribute wealth. As you can imagine, these are not easy fixes and the solutions do not come overnight.
Starting here, let’s put it in simple terms. In America, capitalism is working for 1% of the people, while the other 99% are left to suffer. While the government is already spending a large amount of money enforcing redistribution programs (about 9.8 billion a day), it’s still not enough.
While a majority of the income disparity gap issue is out of the average joe’s hands, there are things he can be doing to help the cause. For example, he can:
Invest in the Right Things
Often the average Joe is probably not within the smartest percentage of the population. Perhaps he wasn’t lucky enough to be born into money. These are reasons he’s not banking in on the capitalist system the way that the 1% is able to. It’s not like he works less hard than anyone else making a lot more money than him. A lot of this is just luck of the draw.
What Joe can be doing is spending his money in the right places. For example, Joe can decide to put $75 towards a quality pair of shoes that’s going to last him years to come, or he can instead take the other route and spend $25 three times over again, on poorly made shoes won’t don’t last.
By doing his research, Joe can control where his money going by choosing the companies that are working towards the same things he is. A company working in the right direction is going to have a much higher ability to make an impact than Joe, the individual.
Though these are just a couple ways to help solve the gap of income inequality, there are many other ways to help. Educate yourself and always be on the lookout for new opportunities to learn.
The 1% is often the 1% because they understand the system and capitalize on it. Though it’s not right, and the common man is not given the opportunities he needs, you can be the mastermind to facilitate the change we need.