- Created by: xsmithy7272
- Created on: 10-02-20 20:28
Lecture Notes - Week 1; sociological explanations for the distributions of wealth and income.
Wealth - the ownership of property, shares, savings etc.
Marketable Wealth - Assets that can be disposed of (sold quickly) e.g shares, savings and personal possessions like cars and jewellery.
Non-Marketable Wealth - Unsellable items e.g pensions for those below the pension age.
Problems of measuring wealth;
- can be easily hidden (tax havens)
- government don't collect information on wealth for tax purposes
- no wealth tax on living, inheritance tax on dead only
- little survey research, low response and lack honesty
1945-1980; wealth more evenly distributed e.g housing, NHS, benefits, trade unions
1980-2000; wealth remained stable
since 2000; wealth inequality, higher austerity (cuts)
- richest 10% own 44% of the wealth
- poorest 10% own 0% of the wealth
- richest 1% own the same amount of wealth as the poorest 55%
Income - a flow of money, weekly (wages) or monthly (salary). As well as earned income from a job, it can include unearned income e.g interest on savings, rent from land, benefits.
Original Income - money from all sources; work, investments, gifts, pensions, benefits.
Gross Income - all sources of income before deductions.
Disposable Income - gross income after tax deductions.
Final Income - post-tax income plus non-cash benefits e.g medical…