This current Organization for Economic Cooperation and Development (OECD) report along with the Congressional Budget Office’s report examining income gaps in the U.S. strains the credibility of the Republican Party’s and Grover Norquist’s anti-tax political stance. These two reports challenge the viability of such policies which benefit the highest income brackets and the adherence to the “no taxes on the job creators” platform.
Income inequality in the United States is rising and is now greater than in all developed countries other than Chile, Mexico and Turkey, according to a new report.
The report released Monday by the Organization for Economic Cooperation and Development indicates that income inequality has increased in almost every developed country in the last 30 years, and has continued to rise since the global financial crisis. Among the few countries where inequality has decreased in the last 30 years are Ireland, France, Greece and Turkey.
In the United States, the average income among the richest 10% is 14 times greater than the average income among the poorest 10%, up from a 10 to 1 ratio in the 1980s. The countries where the ratio between the incomes of the top 10% and the bottom 10% is the lowest — around 5 to 1 — are Denmark, the Czech Republic, Belgium and Norway.