Question

How does the unequal distribution of income affect the standard of living of the citizens in a country

Answer 1

Income distribution becomes unequal when the rich becomes more rich and poor becomes more poor over the period of time. This has a direct implication on the standard of living. For the groups who have a higher income level the standard of living increases because the access to basic amenities such as health education sanitation public utilities, is largely increased.

The more the income inequality is visible in the demography the lower will be the standard of living of the poor because it will then find itself detached and deprived of the basic amenities needed for a decent life. This indicates that if the distribution of income becomes unequal then it will create a wedge between the poor and the rich.