Since the nineties the wealthy and the poor in Canada has been steadily growing. In 2008 the average income of the top 10 per cent of Canadians was $103,500 – 10 times that of the bttom 10 per cent, who had an average income of $10, 260. The richest one per cent of Canadians saw their share of total income rise to 13.3 per cent in 2007 from 8.1 per cent in 1980.
Moreover, the richest of the rich – the top o.1 per cent – saw their share more than double, to 5.3 per cent from two per cent.
The sad fact is that income inequality has been rising more rapidly in Canada than in the United States since the mid-1990s. Furthermore, an analysis of 18 countries found that Canada had the fourth largest increase in inequality in the last 20 years.
Thre are social implications here also. There is a link between income inequality and poor health.
What can be done about this disparity? Taxing the rich more as Warren Buffett suggests – is one way to go. Also closing tax loopholes and using the tax system to redistribute wealth more equitably.
Would you support more income redistribution in Canada?
Are poor Canadians getting poorer?
What do you think?