UNIT 4

WEALTH INEQUALITY IN AMERICA

Top 1% has 40% of the wealth in America

Bottom 40% share the 7% of the wealth

SOCIAL SECURITY

• Entitlement - people who do not work for it

• People who are disabled may get money that they do not put in

• Woman do not get the same money that man get

• They get part of the social security that their husband made

• Charged at 7.65 % (6.2% for social security and 1.45% Medicare) - Just the first 117,000 goes to social security. If someone makes more than 117,000 you do not pay all of the income to social security

• Benefits the lower income more than higher income

• Redistribution of income from young to old

MEDICARE

• National health insurance

UNEMPLOYMENT INSURANCE

• All you have to do is prove that you do not have a job and that you have applied

WHY IS SOCIAL SECURITY AND MEDICARE INCREASING

• Brady boom

• Cost of health care

• Better health care

• Decrease birth rates

• Strategies - signal payer system (everyone pays in D)

• Invest in the stock market

• Raise the upper limit

• Woman pay in

EDUCATION

• Help pay for housing and education for people in the military

• No child left behind

• Race to the top - competitive grants but allow charter schools

• Pell Grants - college grants

AFFORDABLE CARE ACT - OBAMA CARE

• Requires health insurance

• Can not be denied based on pre-existing conditions

• Birth control covered

• Keep kids on till 26

• Provided subsidies to small business