Hi, need to submit a 1750 words essay on the topic Income Distribution.The second factor is the labor market that contrasts the standard supply model with the alternative possibility of bargaining pow

Hi, need to submit a 1750 words essay on the topic Income Distribution.

The second factor is the labor market that contrasts the standard supply model with the alternative possibility of bargaining power. Tax cuts lead to managerial energies that divert the remuneration expense at the expense of employment. On capital income, the authors cite that Europe adheres to a U-shaped model that inherits wealth through capital income taxation that curbs inequality. The controversy surrounding income inequality attributes to technological change and globalization. On the issue of inherited wealth, the author observes difference in magnitude across countries. The existing estimates show differences between the French U-shaped patterns that apply to Germany. The wealth surveys tend to underestimate inheritance receipts and that explains the reason behind the rise of inheritance flows in the recent period that appears limited in some countries. The variations in the total magnitude of wealth accumulation also explain the variations between the countries. The authors use different approaches to explain the differing experience in other advanced economies. The rise in the share of the top 1 percent has a noteworthy effect on the overall income inequality in America. During the First World War, the authors find that economic growth accompanies a rise in inequality and a decline in inequality. An interwar period fails to exhibit secular downward trend in the shares of top incomes. In the issue of tax rates that authors find consistency of tax rates that contribute to the earlier decline in the top income shares. The decline in the top capital incomes is the primary driver of top income shares in the early twentieth century. Lastly, the authors talk concerns earned income and capital income. The joint distribution of earned income and capital income compares with a Ricardian model. The pattern of crossing represents the copula that illustrates joint distribution in terms of ranks in the distribution of capital and earnings income.

The authors