Income inequality undermines growth

New OECD research suggests that widening inequality is indeed undermining growth. Evidence like this will fuel calls to review the tax contribution of wealthier households to ensure we are more effectively redistributing the benefits of growth to the middle and lower classes and promoting equal opportunities in education and health. Without concerted political action, the gap between the rich and poor will grow even wider in the years ahead.

ABOUT THE OECD

The Organisation for Economic Co-operation and Development (OECD) is an international organisation established in 1960 that works collaboratively to build better policies for better lives. Our goal is to shape policies that foster prosperity, equality, opportunity and well-being for all. Together with governments, policy makers, policy shapers, and citizens, we work on establishing evidence-based international standards and finding solutions to a range of social, economic and environmental challenges.

#oecd #income #economy #incomeinequality #growth

[Titus]

This needs much wider discussion in the run up to the next election: do the parties accept this analysis, and if not,  do they have a better one? 
How will they close the income gap and create a more balanced, inclusive, prosperous society?

[Centauriax]

It can be already to late. It feels, that when people which now holds the power allow such informations to go on public they must really feel confident, They hold things tight in their hands. Maybe is real change no more possible. What can such research take? Normal and poor people will not be able believe that and rich people just don't care, because they finally do not need to hear anyone. Anyway we should be grateful to OECD and others that they did such research, it was worth to try, maybe when it would be at least 10 years earlier it would be able to change something.

[-ex]

The following is a merely one personal opinion.
In recent years, the gap problem of rich and poor people in Japan is very serious. Many families have committed suicide for the difficulty of living every year. They have　despaired and losed all hope of their life completely. This income gap is the main reason of Japanese suicides.
Actually, the gap problem is pointed out on the report of OECD.
In spite of this state of affairs, Japanese government almost leave them under the poor surroundings.Because they are nothing but rich capitalists' puppets.
Now, Japan is one of the most tragic country in the world. It no longer has the strength to stand up. It's blood was completely sucked out by usuries like a leech named the income gap.
The Japanese exploiting class, people in the upper income brackets, e.g. drug manufacturers or doctors, civil engineering and building contractors, big companies and some cunning small businesses, human resource dispatch companies and so on, is none other than vampire. Vice thrives in Japanese society. The taxes are infested with them.
Immediately, there is a need for strengthening of income taxation. Japan has been transformed into a horrifying ugly society to push the family suicides. They have obtained an unfair advantage.
Privileged class have exploited revenue from socially vulnerable. Many people are their slaves.
By utilizing the advantageous position, the privileged class eats greedily workers of the socially vulnerable.

[Shylopaul]

Should everyone be "equal" in everyway? That would be strange.