If you switched on your TV on September 17th 2011 to watch the 8 o'clock news, there is no doubt you have heard about a movement called “Occupy Wall Street”. A group of people started occupying Zuccotti Park in New York’s financial district in Lower Manhattan. But what is this all about? According to the movement’s website, the aim is to denounce the tremendous inequality dividing the USA’s population and to fight against the corruption and greed of the Top 1%.
The distribution of income among the income groups has drastically changed over time. While the income of the bottom 99% of people increased only slightly, that of the Top 1% skyrocketed, creating a massive divergence.
This is the main problem that the Occupy Wall Street movement addresses, which is not only up-to-date in the USA, but also in many other countries of the world.
Additionally, apart from income there are also other important aspects to inequality like education and health care that are required to form a bigger context, which is the goal of this thesis.
Table of Contents
Introduction: Inequality – A Recent Topic
1 Definition of Inequality
2 Aspects of Inequality in the USA today
2.1 Education
2.2 Health Care
2.3 Political Participation and Representation
2.4 Labor Markets and Other Sources of Income
3 The Vicious Cycle of Inequality
4 An Example of Inequality: Appalachian Poverty
4.1 Causes of Appalachian Poverty
4.2 Effects of Appalachian Poverty
Conclusion: Possible Ways Out of Inequality
Research Objectives and Topics
The thesis aims to analyze the structural phenomenon of social inequality in the United States, specifically examining how income disparities influence education, health, and political representation, with a particular focus on the persistent poverty in the Appalachian region.
- Theoretical definition and scope of social inequality.
- The role of income in shaping access to education and health care.
- Correlation between income levels and political participation/voting behavior.
- Mechanisms of the "vicious cycle" of systemic inequality.
- Case study: Economic and social challenges in the Appalachian region.
Excerpt from the Book
3 The Vicious Cycle of Inequality
All of the aforementioned factors have to be seen in a bigger context, as they are all interlinked with each other in a certain way.
The reason for the increasing inequality among the people is to be found in the type of correlation that the influencing factors have. Taking a look at the whole system, you will find that all of the interdependencies are of a positive nature, i.e. that an increase or improvement in one of the correlation partners also causes an increase/improvement in the other partner. This is also true the other way round: a negative change of one causes the negative change of the other.
The overall income is a good point to start explaining the vicious cycle of inequality. As already mentioned, income has a great influence on educational attainment and the quality of education that students receive. The wealthy usually achieve a higher standard of education than those who are poor. Education greatly affects the chances on the labor market. The higher the level of educational attainment, the higher the pay for jobs is going to be. Thus, wealthier individuals are more likely to obtain a job that is well-paid. Running for political office requires money and good connections to influential people, both of which are available to the wealthy to a greater extent. Education also has an effect on political representation as those who better understand how politics work are usually also more interested in voting and participating in political life. Due to this, most important positions in politics are occupied by people with a high income background. Naturally, those people may be interested in conducting politics in a way that does not impair their life standard in any way, and not so much care about those less fortunate. This may lead to disadvantages in earnings taxation for low income individuals, which in turn affects the income from work. The net salary/wage is part of the overall income and additionally influences the availability of sources of capital income, which forms the other part of overall income.
Summary of Chapters
Introduction: Inequality – A Recent Topic: This chapter introduces the societal context of the Occupy Wall Street movement and establishes the thesis goal of exploring income-related inequality.
1 Definition of Inequality: This chapter establishes a formal definition of inequality and specifically defines the term "social inequality" in the context of access to societal goods.
2 Aspects of Inequality in the USA today: This chapter examines how income groups experience disparate access to essential systems, focusing on educational and health-related outcomes.
2.1 Education: This section discusses the high costs of higher education and how financial barriers disadvantage students from low-income families.
2.2 Health Care: This section analyzes the impacts of the PPACA and how existing health disparities persist despite insurance reforms.
2.3 Political Participation and Representation: This section highlights how lower income levels correlate with reduced political engagement and lower voter turnout.
2.4 Labor Markets and Other Sources of Income: This section explains how geographic and economic barriers, such as transportation and location, hinder job opportunities for the poor.
3 The Vicious Cycle of Inequality: This chapter describes the systemic feedback loops where low income negatively impacts education, political influence, and health, creating a self-reinforcing cycle.
4 An Example of Inequality: Appalachian Poverty: This chapter presents Appalachia as a regional case study for long-term systemic poverty.
4.1 Causes of Appalachian Poverty: This section details the historical shift from subsistence farming to industrial dependency and the subsequent economic decline of the coal industry.
4.2 Effects of Appalachian Poverty: This section explores the dire public health and educational outcomes resulting from the region's persistent economic depression.
Conclusion: Possible Ways Out of Inequality: This chapter synthesizes findings to propose policy measures like improved school funding, better infrastructure, and land ownership support.
Keywords
Social Inequality, Occupy Wall Street, Income Disparity, Appalachia, Poverty, Education, Health Care, Political Participation, Labor Market, Vicious Cycle, Economic Development, Public Infrastructure, Taxation, Subsidy, Social Mobility
Frequently Asked Questions
What is the primary focus of this thesis?
This work examines the structural causes and consequences of social inequality in the United States, focusing on how income disparities affect key areas of life like education, health, and politics.
Which specific areas are identified as key indicators of inequality?
The author highlights education, health care access, political participation, and labor market opportunities as the central themes where inequality is most pronounced.
What is the core research question or goal?
The goal is to analyze the "bigger context" of inequality and demonstrate how these various factors interlink to form a self-perpetuating system of poverty.
What research methodology is applied?
The work utilizes a combination of literature analysis and the evaluation of economic and social data to construct a systemic model of inequality.
What does the main body of the work cover?
The main body defines social inequality, explores specific aspects of it in the modern USA, details the "vicious cycle" mechanism, and provides a case study of poverty in Appalachia.
What keywords characterize the research?
The research is characterized by terms such as systemic inequality, income distribution, social mobility, and economic diversification.
How does income influence political behavior in this study?
The study finds that low-income citizens are less likely to vote due to economic and medical barriers, resulting in political decisions that often favor the wealthy.
Why is Appalachia considered a significant case study?
Appalachia serves as an example of an "undiversified economy" where the decline of a single industry (coal) and the lack of local land ownership have trapped the population in a generational cycle of poverty.
What role does the "vicious cycle" play in the author's argument?
The vicious cycle explains that improvements for the wealthy (in education or politics) automatically lead to further advantages, while negative outcomes for the poor create a cycle that is nearly impossible to break without external intervention.
- Quote paper
- Sonja Schricker (Author), 2012, United States of Inequality. Aspects of Inequality in the USA Today, Munich, GRIN Verlag, https://www.grin.com/document/343513
