Measuring income inequalities-progressive consumption tax

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You will explain the causes of income inequality in the U.S. and demonstrate the problems associated with measuring income inequalities.

Analysis of income distribution data does not lead all economists to the same positive or normative conclusions. Rick Newman's article, The Misleading Debate over Income Inequality provides one point of view and Robert Frank gives another in The Progressive Consumption Tax

What are each of their explanations for the widening income gap? What are their suggestions to reduce the gap? With which do you agree? Explain your answer. What influence do Ignition principles have on your answer?

Reference no: EM13976443

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