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Inequality For All Essay

535 words - 3 pages

Inequality for All is a movie about how unequal the American income is and how the economic system caters to the rich. Robert Reich’s argument is that most of the money that America has is all in the top one percent and less is going to the middle class. In the research that he was able to produce, he discovered that the smaller the gap between the middle and the top one percent, the better the economy was and that the largest gap between both the rich and the middle class led to the Great Depression. His feels that America should go and raise taxes on the wealthiest Americans so that they can reduce the gap between the middle class and the rich.
Robert Reich was a former Secretary of Labor to the Clinton ...view middle of the document...

When the gap between the middle class and the wealthy was at its largest, it led to the Great Depression and it took it about ten years for it to get back on track. During the 1950s and the 1960s is where we see the smallest gap and that the economy at that time was booming. It was also the time where we see more people going to college and getting an education for themselves to get better jobs. We had a smarter workforce and the unions were striving at that time and we were going into what Reich called it the Virtuous Cycle.
Up until the late 1970s is when we began to see the gap between the middle class and the wealthiest start to get larger. It was also around that time when President Reagan began running for office and started to give tax cuts to the wealthiest of Americans. As time went on, the gap is getting larger and people who are working for the wealthy American companies are starting to remain the same and sometimes make even less money than what they would have made back in the 1950s, which has been adjusted for inflation. Our workforce isn’t as educated as before and because of this we have entered a cycle called the Vicious Cycle, according to Reich.
These cycles have a profound impact on how we can understand our economy and make it good again. In the Virtuous Cycle we see that the workforce is educated and the government starts to invest in the American people more. With this, we start to have and make more money and in return we begin to buy more stuff and increase productivity. But on the contrary, the Vicious Cycle is the exact opposite of what the Virtuous Cycle represents.

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