Plato wrote that the wealthiest person in a community would earn no more than five times what the ordinary worker in their community made in a just society. Contemporary US society is far from Plato's ideal. According to the Census Bureau, in 2019, the household median is around $68,703. At the same time, the top 5% average household income is $451,122, which means that the top 5% of the income distributions make 6.57 times more than the median household. This result will be much higher for the top 1%. In contrast, the worldwide average is around $10,000. Please answer the following: • Is this fair? • Are the salaries of people at the top the result of efficient work, hard work, or is this the result of unchecked greed and power from elites? • Is the disparity between average earnings in the US and the rest of the world the result of these same forces?

Plato wrote that the wealthiest person in a community would earn no more than five times what the ordinary worker in their community made in a just society. Contemporary US society is far from Plato's ideal. According to the Census Bureau, in 2019, the household median is around $68,703. At the same time, the top 5% average household income is $451,122, which means that the top 5% of the income distributions make 6.57 times more than the median household. This result will be much higher for the top 1%. In contrast, the worldwide average is around $10,000. Please answer the following: • Is this fair? • Are the salaries of people at the top the result of efficient work, hard work, or is this the result of unchecked greed and power from elites? • Is the disparity between average earnings in the US and the rest of the world the result of these same forces?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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