The factors contributing to income inequality in Germany are complex and multifaceted. Here are some of the factors that have been identified by various sources:
- Changes in the tax system14
- Changes in the household structure, such as the rising share of single-parent households1
- Changes in other socio-economic characteristics, such as age or education1
- Offshoring of production to Eastern Europe by German firms since the beginning of the 1990s16
- The reunification of East and West Germany, which contributed to the current geographical divide, where Eastern German manufacturing and social constructs lagged behind that of the West1
- Technological change, which is set to further accelerate with advancements in innovation6
- Wage inequality between firms, rather than within firms, which explains the evolution of inequality5
No comments:
Post a Comment