Welcome to the archives for NewsTalk, an IBJ blog published from November 2007 through December 2010.

Rich, poor growing apart

October 21, 2008
A new report says the gap between the rich and the poor is getting wider, and that the gap is biggest in the United States.

The problem, of course, isnâ??t new. Broadly speaking, the greater oneâ??s education and skills, the greater their value and income. The gap has been widening as the global economy increasingly rewards knowledge rather than physical skills.

How should this be solved? If incomes of the wealthy are redistributed to those with less, incentives to invest and take risk are stripped away.

On the other hand, many also argue for a moral responsibility to ensure that the poorest-paid receive at least the basics, such as health care and a decent home. Still others fear social unrest if gaps widen far enough.

What do you think?
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