In America, the inequality of income is growing. As stated in the article, it is affecting the educational opportunity of young people. The gap between test scores is growing among rich and poor children. The cause of this issue is said to be quick technological change and persisting globalization of the economy.

The way that the government in Canada handles this economic issue is through progressive taxation. This means that the higher your income, the larger the percentage in taxes you are required to pay (progressive taxation). In theory, this seems like a good way to reduce the severity of the issue, but some think it may not be the best way. As stated in the article, focusing on the youth is the way to go instead of using a fiscal policy to reduce the inequality of income. Since it is affecting citizens’ education at such a young age, they must focus on making it so that every youth has the same opportunities as each other, therefor, they will have the same abilities as each other to enter the working world to make somewhat similar incomes as each other.

Approaching the issue from that perspective would take a lot of time to see improvement. The quicker, and seemingly more sensible approach would be to implement progressive taxation and to provide more subsidies for the poorer as well as reduce subsidies for the rich. This way the inequality of income of Americans would be noticeably smaller.

Source:
http://www.economist.com/news/leaders/21586578-americas-income-inequality-growing-again-time-cut-subsidies-rich-and-invest