Causes Of Income Inequality

Question 1

What is unemployment

Answer 1

Where a working age adult that is available for a job doesn’t have a job

Question 2

How many adults in the uk are unemployed

Answer 2

Over 1.4 million

Question 3

What do individualists believe causes unemployment

Answer 3

People aren’t properly trying to find a job

Question 4

What do collectivists believe is causing unemployment

Answer 4

Mainly unemployment is out of people’s control

Question 5

Why do collectivists believe this is cause for unemployment

Answer 5

People are getting made redundant due to them bring replaced by technology and cheaper imports

Question 6

What’s an example of people losing jobs due to cheaper imports

Answer 6

Thousands of people are losing jobs in steel factories due to steel being really cheap if being imported from China and 3,000 people losing jobs at port talbot

Question 7

Why does unemployment cause inequality

Answer 7

People need to rely on benefits which are below the average wage

Question 8

How much of the total work force in the uk are currently unemployed as a percentage

Answer 8

3.8%

Question 9

What percentage of people in poverty in the uk have at least one person that’s wages are too low

Answer 9

60%

Question 10

What do individualists believe that a capitalist economy is based on

Answer 10

pay is based on
how valuable the work is therefore high-skilled jobs tend to be rewarded with higher pay than low-skilled jobs.

Question 11

What do collectivists believe a capitalist economy is based on

Answer 11

Exploiting lower skilled jobs so they can give them lower wages and maximise profits

Question 12

In 2022 how much did wages rise for the highest fifth of workers

Answer 12

7.8%

Question 13

In 2022 how much did the lowest fifth earners wages rise

Answer 13

7.5%

Question 14

What is zero hour contracts

Answer 14

Where a worker doesn’t have a set amount of hours

Question 15

How much people in the uk had zero hour contracts in 2005 compared to now

Answer 15

2005 100,000
2024 about one million

Question 16

What a negative of zero hour contracts

Answer 16

People only get paid when they are required to work

Question 17

Because an employee doesn’t have a set amount of hours why does this cause income inequality

Answer 17

Because they aren’t guaranteed hours to work and a low amount of hours means they don’t get paid as much or no hours at all with them also missing out on parental leave

Question 18

Why has the cost of living increased so much in recent years

Answer 18

Ukraine war, Brexit and the Covid 19 pandemic

Question 19

Why have people struggled with the rising cost of living

Answer 19

Because it has gone up faster than the average wage and benefits

Question 20

How much have prices gone up in recent times by percentage

Answer 20

3.4%

Question 21

What was the high of prices being reached and when

Answer 21

11% in 2023

Question 22

How much did the average house hold energy bill go up in 2022

Answer 22

50%

Question 23

What do individualists believe people should do because of the cost of living

Answer 23

People need to budget better

Question 24

What is it called when a poorer person has to spend more money than higher earners because of the cost of living

Answer 24

Poverty premium

Question 25

What happens in poverty premium

Answer 25

poorer people tend to pay have to pay higher interest rates on loans, a higher unit
cost if they have pre-paid metres for energy and are less likely able to bulk buy food.

Question 26

What welfare reforms have made more inequality

Answer 26

The govt has cut the budget of it

Question 27

How much in benefits can a household receive now

Answer 27

Maximum £22,000

Question 28

What is the two child limit

Answer 28

A household can only claim benefits for two children

Question 29

When was the two child brought in

Answer 29

2017

Question 30

What do individualists believe these welfare reforms do

Answer 30

Motivates people to earn more Money rather than receive little

Question 31

But what do collectivists believe that the welfare reforms have done

Answer 31

Widened the gap with inequality