2.2 Class inequalities in income Flashcards
what is income?
money received on a regular basis wages, benefits, pensions
flow of money into a household
the richest 1/5 of society have what percent of UK income?
40%
the poorest 1/5 of society have what percent of UK income?
8%
is the UK becoming more or less unequal?
more
genie coefficient has risen
what has happened to the salaries of the rich in recent years?
they have doubled
what happened in the 1st 5 days if 2015?
top earners had made more than what most people earn in the entire year
“fat cat day”
what is the genie coefficient?
the gap between the richest and poorest in society
those in the bottom 10th of the population earn how much less than the top 10th of the population?
10x less
the percentage of income inequality is increasing in who?
ethnic groups
who pay a higher proportion of their income in tax?
the poor
(2013) the poorest 5th paid what percent of their income in tax?
37.4%
(2013) the richest 5th paid what percent of their income in tax?
35.1%
income inequalities are the basis of what?
many social class inequalities in the UK
what does a persons income affect their access to?
things viewed as desirable by society e.g. transport, consumer goods, housing, leisure
there are issues in measuring income if using surveys what might people do?
over exaggerate or under estimate their incomes
for tax/benefit reasons
social desirability
businesses - not a clear income always money going in and out
why might the rich pay a lower proportion of their income in tax?
find ways to avoid paying it - off shore accounts
can claim tax back on business expenses
what is the functionalist and new right view of income inequality?
necessary to motivate people to work harder using their talents and abilities
what is the Marxist and Weberian view of income inequality?
CEOs and big business owners have the power to make their salaries seem normal - a culture where huge rewards are the “norm”
