I think the GOP (and most other conservative standard bearers) will be consigned to irrelevancy if we don’t address the decline in real living standards that the lower middle class and working class are experiencing. It has nothing to do with obsessing about the Gini Index, but when people start to feel their hands slipping off the last rungs of that middle class ladder, they will turn more to the government for solutions.
(and most other conservative standard bearers)
Yes, but it is important to know the origins of the Gini Coefficient. It was used to promote fascism, which is the same goal here.
That said, “income inequality” is good and expected in a free society. We don’t expect a hamburger flipper to make as much as a brain surgeon. Looking at incomes is the wrong approach.
Is it net or gross income? Given that less than half the population pays income taxes wouldn’t you expect top earners to earn more to make up the difference and bottom earners to coast on their new found after tax income?
What about purchasing power? You have to look at that as well. What can be bought and for how much?
The real problem is income mobility. If people can move up and down the income scale that’s critical. It means you’re not trapped in poverty or permanently ensconced in wealth. How does that happen?
Massive government intervention - licensing, fees, taxes, regulations, etc. Cab drivers cannot drive an vehicle without a permit. The permits are limited by government, bought by the wealthy and cost about $250,000-500,000, just to drive a cab. That’s nuts and that’s destructive to peoples mobility.
Finally and just as important - income isn’t wealth. You can be quite wealthy, have low overhead and a low income. What exactly are we measuring?
I’d ignore income and focus on purchasing power and income mobility. Both of those are negatively influenced by government intervention.
In a free market high prices cure themselves and people are free to pursue life as they see fit. Under government the opposite is true.