Tony Jin, Post #2
Economy
Income Goes Up... Especially for the Rich
Author: Tami Luby
Source: cnn.com
Date: 3/5/12
1 Page Long
http://economy.money.cnn.com/2012/03/05/income-goes-up-especially-for-the-rich/?source=cnn_bin
According to the Internal Revenue Service,Americans' income have finally started to rise again after two years of decline. The adjusted gross income of this year ended in a total of $8 trillion, a 5.2% increase from that of 2009. However, the majority of that rise was in the taxpayers that earned more than $250,000 annually, who saw a 13.8% increase. However, the the middle class saw a .7% drop in their wages. This resulted in a net increase of 2.1% of salaries and wages. This "uneven recovery has continued into 2011 as the stock market has continued to recover," says Saez, an economics professor at UC Berkeley.
If this income gap continues to widen, there will surely be social unrest in the next few years, as the lower classes strain against the unfairness of their salaries. This unrest will be extremely important for the current presidential candidates to deal with, since they need all the support they can get. If they fail to please the lower-income class, they forfeit any chance of winning the election later this year.
This article is really interesting and great to know or realize that the gaps are starting to form between the 3 different social classes. It's great to know that the income have finally started to rise again after two years of decline but it won't be so great if it starts to rise mostly for the rich. I agree with the professor at UC Berkeley that it can definitely cause great problem in the next few years as the gaps continues to widen. Our efforts to revive economy may cause some problems in the future.
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