Academic-Capital

Income inequality is a hot topic that is becoming more troublesome every year as the gap in incomes continues to grow. Fed Chair Janet Yellen discussed on October 17th the growing problem of income inequality and its potential impact on the American Dream. She elaborated on how child resources, higher education, entrepreneurship, and inheritance influence a family’s ability to raise their position in life. Without ensuring that there is sufficient mobility within society there are risks to the founding fabric of opportunity within the country. Those who are not wealthy are finding it difficult to save money or pass that money onto future generations. At the same time, those at the top of society are discovering that it is not only easier to earn more money but also save that money for their children. Additional time without change seems to aggravate the problem. Janet Yellen discusses four possible solutions that include early education intervention, affordable higher ed