Read it all here. Another idea I’ll throw into the mix is that many people actually choose to earn less than they could. Most of our grandparents probably took whatever job paid the most and today’s jobseekers certainly want big paychecks too. But they also seek other things (flexibility, more free time, less stress, greater personal fulfillment). Jobseekers are always making tradeoffs that involve these and other factors and since it’s easier than ever before to meet our basic needs, we can probably expect more people to forego some income for other thing that are important to them. Related: Previous smackdowns on eminent domain, privatizing social security, and outsourcing.
The Wall Street Journal Online asked economists Heather Boushey of the Center for Economic and Policy Research and Russell Roberts of George Mason University to debate to what degree inequality exists, and just how much it matters for the economy and society.