outcomes is not the answer to America’s inequality problem but rather equality of opportunity. More must be done by the American government to remove influence family money can have on the opportunities available to children. A satisfactory minimum level of education and healthcare are a must for a society that is to function healthily and have an acceptable level of intergenerational mobility. There must also be steps taken to increase the power ordinary citizens have over the government and attempt to reduce the influence wealthy individuals and companies can have on politicians in order to ensure that policies cater for the majority, not the money. In my opinion, the best thing the government could do to reduce inequality would be to give federal support to trade unions to increase the bargaining power of workers. This may impose a minor cost to business, but the benefit to the wider society far outweighs this cost. Finally, more social spending needs to be directed to the poorer citizens of America. The reason Germany is more equal than America after taxes and transfers is not because of the taxes but the transfers. The German government provides vital services and employment conditions that allow the poorer people in their society to earn a wage that is possible to live off. Although this would be politically divisive in the US, it is important for the government to emphasize the benefits of this avenue of reducing inequality. The combination of these two policies would be the most effective way to reduce inequality in America.
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