For the first time since 2008, the Organization for Economic Cooperation and Development (OECD) acknowledged that the gap between rich and poor citizens is growing in all but two of the thirty-four member nations. In the 1980's the ratio of the earnings of the top ten percent compared to the bottom ten percent hovered roughly around five. As of now, that number has skyrocketed to an average of nine, with countries such as the US and the UK at around a staggering fifteen times. The OECD has cited several causes for this widening disparity between rich and poor, including technological change favoring the highly skilled workers, changes in the labor force, changes in trade regulations to keep up with globalizing marketplaces and competition, and reductions in tax rates on the highest earners. It now seems necessary for a comprehensive solution strategy to combat this startling trend. The OECD believes this comprehensive strategy must include better education systems, more on-the-job training, and freely accessible education and health services, funded largely by marginal increases in the tax rate for the richest citizens. Until these changes occur, many believe inequality will continue to rise.
http://blogs.wsj.com/economics/2011/12/05/oecd-suggests-raising-taxes-to-combat-inequality/?KEYWORDS=economic+inequality
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