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Aimee Mair
05/08/2025
Modern Studies
Social Inequalities Essay 12 marks
569
•
5 Aug 2025
•
5 Reasons for Income and Wealth Inequality in Social Class
Aimee Mair
@aimeemair
Unemployment and Low Pay as Causes of Income Inequality
Unemployment is another crucial factor contributing to income and wealth inequalities in social class. It refers to individuals who are available for work but do not have a job, including part-time workers and those without guaranteed hours.
Vocabulary: Unemployment rate - The percentage of the labor force that is unemployed but actively seeking employment.
The current unemployment rate in the UK is 3.8%, which is relatively low. However, those who are unemployed rely on Job Seekers Allowance or Universal Credit, which provides only £80 per week. This amount is insufficient to cover basic living expenses, as the annual income from Universal Credit (£4,160) falls short of the £4,380 needed to get by.
Highlight: The gap between benefits and the cost of living increases the risk of poverty for unemployed individuals.
Low pay is also linked to unemployment and contributes to income inequality. Many workers, even those employed, depend on benefit systems due to inadequate wages. For example, 5 million workers in the UK are on zero-hour contracts, which do not guarantee any weekly working hours, leading to unstable incomes and increased poverty risk.
Definition: Zero-hour contracts - Employment agreements where the employer is not obligated to provide any minimum working hours, and the worker is not obligated to accept any work offered.
Pensioner Poverty and Gender Pay Gap
Pensioner poverty is a significant factor in causes of income inequality, particularly affecting older individuals. While the poverty rate among pensioners in the UK is relatively low at 18% compared to other groups, it is still high when compared to other countries.
Example: The UK's pensioner poverty rate is five times higher than that of the Netherlands.
This disparity is partly due to the UK state pension providing only 30% of average earnings, compared to the EU average of 70%. This significant reduction in income during retirement increases the likelihood of pensioners falling into poverty.
Gender inequality further exacerbates income disparities, particularly for women. The gender pay gap in the UK means that for every pound a man earns, a woman earns only 84p. This 16p difference per pound significantly impacts women's lifetime earnings and increases their chances of experiencing poverty, especially in retirement.
Highlight: Women face greater income inequalities than men, which can lead to higher rates of poverty, particularly in old age.
In conclusion, the causes of income and wealth inequalities in social class are multifaceted, involving educational attainment, unemployment, pensioner poverty, and gender disparities. Addressing these issues requires comprehensive policies that target education, employment, pension systems, and gender equality to reduce overall income inequality and poverty rates.
Educational Attainment and Social Class Impact on Income Inequality
Educational attainment is a significant factor in causes of income and wealth inequalities in social class. It refers to the formal qualifications obtained through education that help individuals transition into the workforce.
Those with university degrees tend to have higher lifetime earnings compared to those without. However, access to higher education is closely linked to social class. Students from higher social class backgrounds typically achieve higher educational attainment than those from lower social class backgrounds.
Example: Students from the poorest 20% of households are half as likely to obtain at least one Higher qualification compared to those from the richest 20% of households.
This disparity in educational attainment based on social class significantly impacts earning potential and the likelihood of experiencing poverty. Those born into poverty are more likely to remain in poverty due to lower educational attainment, perpetuating the cycle of inequality.
Highlight: Social class has a substantial influence on educational attainment, which in turn affects earnings potential and the chances of living in poverty.
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This app is really great. There are so many study notes and help [...]. My problem subject is French, for example, and the app has so many options for help. Thanks to this app, I have improved my French. I would recommend it to anyone.
Samantha Klich
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Wow, I am really amazed. I just tried the app because I've seen it advertised many times and was absolutely stunned. This app is THE HELP you want for school and above all, it offers so many things, such as workouts and fact sheets, which have been VERY helpful to me personally.
Anna
iOS user
Best app on earth! no words because it’s too good
Thomas R
iOS user
Just amazing. Let's me revise 10x better, this app is a quick 10/10. I highly recommend it to anyone. I can watch and search for notes. I can save them in the subject folder. I can revise it any time when I come back. If you haven't tried this app, you're really missing out.
Basil
Android user
This app has made me feel so much more confident in my exam prep, not only through boosting my own self confidence through the features that allow you to connect with others and feel less alone, but also through the way the app itself is centred around making you feel better. It is easy to navigate, fun to use, and helpful to anyone struggling in absolutely any way.
David K
iOS user
The app's just great! All I have to do is enter the topic in the search bar and I get the response real fast. I don't have to watch 10 YouTube videos to understand something, so I'm saving my time. Highly recommended!
Sudenaz Ocak
Android user
In school I was really bad at maths but thanks to the app, I am doing better now. I am so grateful that you made the app.
Greenlight Bonnie
Android user
very reliable app to help and grow your ideas of Maths, English and other related topics in your works. please use this app if your struggling in areas, this app is key for that. wish I'd of done a review before. and it's also free so don't worry about that.
Rohan U
Android user
I know a lot of apps use fake accounts to boost their reviews but this app deserves it all. Originally I was getting 4 in my English exams and this time I got a grade 7. I didn’t even know about this app three days until the exam and it has helped A LOT. Please actually trust me and use it as I’m sure you too will see developments.
Xander S
iOS user
THE QUIZES AND FLASHCARDS ARE SO USEFUL AND I LOVE THE SCHOOLGPT. IT ALSO IS LITREALLY LIKE CHATGPT BUT SMARTER!! HELPED ME WITH MY MASCARA PROBLEMS TOO!! AS WELL AS MY REAL SUBJECTS ! DUHHH 😍😁😲🤑💗✨🎀😮
Elisha
iOS user
This apps acc the goat. I find revision so boring but this app makes it so easy to organize it all and then you can ask the freeeee ai to test yourself so good and you can easily upload your own stuff. highly recommend as someone taking mocks now
Paul T
iOS user
The app is very easy to use and well designed. I have found everything I was looking for so far and have been able to learn a lot from the presentations! I will definitely use the app for a class assignment! And of course it also helps a lot as an inspiration.
Stefan S
iOS user
This app is really great. There are so many study notes and help [...]. My problem subject is French, for example, and the app has so many options for help. Thanks to this app, I have improved my French. I would recommend it to anyone.
Samantha Klich
Android user
Wow, I am really amazed. I just tried the app because I've seen it advertised many times and was absolutely stunned. This app is THE HELP you want for school and above all, it offers so many things, such as workouts and fact sheets, which have been VERY helpful to me personally.
Anna
iOS user
Best app on earth! no words because it’s too good
Thomas R
iOS user
Just amazing. Let's me revise 10x better, this app is a quick 10/10. I highly recommend it to anyone. I can watch and search for notes. I can save them in the subject folder. I can revise it any time when I come back. If you haven't tried this app, you're really missing out.
Basil
Android user
This app has made me feel so much more confident in my exam prep, not only through boosting my own self confidence through the features that allow you to connect with others and feel less alone, but also through the way the app itself is centred around making you feel better. It is easy to navigate, fun to use, and helpful to anyone struggling in absolutely any way.
David K
iOS user
The app's just great! All I have to do is enter the topic in the search bar and I get the response real fast. I don't have to watch 10 YouTube videos to understand something, so I'm saving my time. Highly recommended!
Sudenaz Ocak
Android user
In school I was really bad at maths but thanks to the app, I am doing better now. I am so grateful that you made the app.
Greenlight Bonnie
Android user
very reliable app to help and grow your ideas of Maths, English and other related topics in your works. please use this app if your struggling in areas, this app is key for that. wish I'd of done a review before. and it's also free so don't worry about that.
Rohan U
Android user
I know a lot of apps use fake accounts to boost their reviews but this app deserves it all. Originally I was getting 4 in my English exams and this time I got a grade 7. I didn’t even know about this app three days until the exam and it has helped A LOT. Please actually trust me and use it as I’m sure you too will see developments.
Xander S
iOS user
THE QUIZES AND FLASHCARDS ARE SO USEFUL AND I LOVE THE SCHOOLGPT. IT ALSO IS LITREALLY LIKE CHATGPT BUT SMARTER!! HELPED ME WITH MY MASCARA PROBLEMS TOO!! AS WELL AS MY REAL SUBJECTS ! DUHHH 😍😁😲🤑💗✨🎀😮
Elisha
iOS user
This apps acc the goat. I find revision so boring but this app makes it so easy to organize it all and then you can ask the freeeee ai to test yourself so good and you can easily upload your own stuff. highly recommend as someone taking mocks now
Paul T
iOS user
5 Reasons for Income and Wealth Inequality in Social Class
Aimee Mair
@aimeemair
Income and wealth inequalities are driven by multiple complex factors including educational attainment, unemployment, and age. These significantly impact a person's income and likelihood of experiencing poverty.
- Educational attainment plays a major role, with university graduates earning more over their... Show more
Unemployment and Low Pay as Causes of Income Inequality
Unemployment is another crucial factor contributing to income and wealth inequalities in social class. It refers to individuals who are available for work but do not have a job, including part-time workers and those without guaranteed hours.
Vocabulary: Unemployment rate - The percentage of the labor force that is unemployed but actively seeking employment.
The current unemployment rate in the UK is 3.8%, which is relatively low. However, those who are unemployed rely on Job Seekers Allowance or Universal Credit, which provides only £80 per week. This amount is insufficient to cover basic living expenses, as the annual income from Universal Credit (£4,160) falls short of the £4,380 needed to get by.
Highlight: The gap between benefits and the cost of living increases the risk of poverty for unemployed individuals.
Low pay is also linked to unemployment and contributes to income inequality. Many workers, even those employed, depend on benefit systems due to inadequate wages. For example, 5 million workers in the UK are on zero-hour contracts, which do not guarantee any weekly working hours, leading to unstable incomes and increased poverty risk.
Definition: Zero-hour contracts - Employment agreements where the employer is not obligated to provide any minimum working hours, and the worker is not obligated to accept any work offered.
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Pensioner Poverty and Gender Pay Gap
Pensioner poverty is a significant factor in causes of income inequality, particularly affecting older individuals. While the poverty rate among pensioners in the UK is relatively low at 18% compared to other groups, it is still high when compared to other countries.
Example: The UK's pensioner poverty rate is five times higher than that of the Netherlands.
This disparity is partly due to the UK state pension providing only 30% of average earnings, compared to the EU average of 70%. This significant reduction in income during retirement increases the likelihood of pensioners falling into poverty.
Gender inequality further exacerbates income disparities, particularly for women. The gender pay gap in the UK means that for every pound a man earns, a woman earns only 84p. This 16p difference per pound significantly impacts women's lifetime earnings and increases their chances of experiencing poverty, especially in retirement.
Highlight: Women face greater income inequalities than men, which can lead to higher rates of poverty, particularly in old age.
In conclusion, the causes of income and wealth inequalities in social class are multifaceted, involving educational attainment, unemployment, pensioner poverty, and gender disparities. Addressing these issues requires comprehensive policies that target education, employment, pension systems, and gender equality to reduce overall income inequality and poverty rates.
Sign up to see the contentIt's free!
Access to all documents
Improve your grades
Join milions of students
By signing up you accept Terms of Service and Privacy Policy
Educational Attainment and Social Class Impact on Income Inequality
Educational attainment is a significant factor in causes of income and wealth inequalities in social class. It refers to the formal qualifications obtained through education that help individuals transition into the workforce.
Those with university degrees tend to have higher lifetime earnings compared to those without. However, access to higher education is closely linked to social class. Students from higher social class backgrounds typically achieve higher educational attainment than those from lower social class backgrounds.
Example: Students from the poorest 20% of households are half as likely to obtain at least one Higher qualification compared to those from the richest 20% of households.
This disparity in educational attainment based on social class significantly impacts earning potential and the likelihood of experiencing poverty. Those born into poverty are more likely to remain in poverty due to lower educational attainment, perpetuating the cycle of inequality.
Highlight: Social class has a substantial influence on educational attainment, which in turn affects earnings potential and the chances of living in poverty.
We thought you’d never ask...
What is the Knowunity AI companion?
Our AI Companion is a student-focused AI tool that offers more than just answers. Built on millions of Knowunity resources, it provides relevant information, personalised study plans, quizzes, and content directly in the chat, adapting to your individual learning journey.
Where can I download the Knowunity app?
You can download the app from Google Play Store and Apple App Store.
Is Knowunity really free of charge?
That's right! Enjoy free access to study content, connect with fellow students, and get instant help – all at your fingertips.
Can't find what you're looking for? Explore other subjects.
Students love us — and so will you.
4.9/5
App Store
4.8/5
Google Play
The app is very easy to use and well designed. I have found everything I was looking for so far and have been able to learn a lot from the presentations! I will definitely use the app for a class assignment! And of course it also helps a lot as an inspiration.
Stefan S
iOS user
This app is really great. There are so many study notes and help [...]. My problem subject is French, for example, and the app has so many options for help. Thanks to this app, I have improved my French. I would recommend it to anyone.
Samantha Klich
Android user
Wow, I am really amazed. I just tried the app because I've seen it advertised many times and was absolutely stunned. This app is THE HELP you want for school and above all, it offers so many things, such as workouts and fact sheets, which have been VERY helpful to me personally.
Anna
iOS user
Best app on earth! no words because it’s too good
Thomas R
iOS user
Just amazing. Let's me revise 10x better, this app is a quick 10/10. I highly recommend it to anyone. I can watch and search for notes. I can save them in the subject folder. I can revise it any time when I come back. If you haven't tried this app, you're really missing out.
Basil
Android user
This app has made me feel so much more confident in my exam prep, not only through boosting my own self confidence through the features that allow you to connect with others and feel less alone, but also through the way the app itself is centred around making you feel better. It is easy to navigate, fun to use, and helpful to anyone struggling in absolutely any way.
David K
iOS user
The app's just great! All I have to do is enter the topic in the search bar and I get the response real fast. I don't have to watch 10 YouTube videos to understand something, so I'm saving my time. Highly recommended!
Sudenaz Ocak
Android user
In school I was really bad at maths but thanks to the app, I am doing better now. I am so grateful that you made the app.
Greenlight Bonnie
Android user
very reliable app to help and grow your ideas of Maths, English and other related topics in your works. please use this app if your struggling in areas, this app is key for that. wish I'd of done a review before. and it's also free so don't worry about that.
Rohan U
Android user
I know a lot of apps use fake accounts to boost their reviews but this app deserves it all. Originally I was getting 4 in my English exams and this time I got a grade 7. I didn’t even know about this app three days until the exam and it has helped A LOT. Please actually trust me and use it as I’m sure you too will see developments.
Xander S
iOS user
THE QUIZES AND FLASHCARDS ARE SO USEFUL AND I LOVE THE SCHOOLGPT. IT ALSO IS LITREALLY LIKE CHATGPT BUT SMARTER!! HELPED ME WITH MY MASCARA PROBLEMS TOO!! AS WELL AS MY REAL SUBJECTS ! DUHHH 😍😁😲🤑💗✨🎀😮
Elisha
iOS user
This apps acc the goat. I find revision so boring but this app makes it so easy to organize it all and then you can ask the freeeee ai to test yourself so good and you can easily upload your own stuff. highly recommend as someone taking mocks now
Paul T
iOS user
The app is very easy to use and well designed. I have found everything I was looking for so far and have been able to learn a lot from the presentations! I will definitely use the app for a class assignment! And of course it also helps a lot as an inspiration.
Stefan S
iOS user
This app is really great. There are so many study notes and help [...]. My problem subject is French, for example, and the app has so many options for help. Thanks to this app, I have improved my French. I would recommend it to anyone.
Samantha Klich
Android user
Wow, I am really amazed. I just tried the app because I've seen it advertised many times and was absolutely stunned. This app is THE HELP you want for school and above all, it offers so many things, such as workouts and fact sheets, which have been VERY helpful to me personally.
Anna
iOS user
Best app on earth! no words because it’s too good
Thomas R
iOS user
Just amazing. Let's me revise 10x better, this app is a quick 10/10. I highly recommend it to anyone. I can watch and search for notes. I can save them in the subject folder. I can revise it any time when I come back. If you haven't tried this app, you're really missing out.
Basil
Android user
This app has made me feel so much more confident in my exam prep, not only through boosting my own self confidence through the features that allow you to connect with others and feel less alone, but also through the way the app itself is centred around making you feel better. It is easy to navigate, fun to use, and helpful to anyone struggling in absolutely any way.
David K
iOS user
The app's just great! All I have to do is enter the topic in the search bar and I get the response real fast. I don't have to watch 10 YouTube videos to understand something, so I'm saving my time. Highly recommended!
Sudenaz Ocak
Android user
In school I was really bad at maths but thanks to the app, I am doing better now. I am so grateful that you made the app.
Greenlight Bonnie
Android user
very reliable app to help and grow your ideas of Maths, English and other related topics in your works. please use this app if your struggling in areas, this app is key for that. wish I'd of done a review before. and it's also free so don't worry about that.
Rohan U
Android user
I know a lot of apps use fake accounts to boost their reviews but this app deserves it all. Originally I was getting 4 in my English exams and this time I got a grade 7. I didn’t even know about this app three days until the exam and it has helped A LOT. Please actually trust me and use it as I’m sure you too will see developments.
Xander S
iOS user
THE QUIZES AND FLASHCARDS ARE SO USEFUL AND I LOVE THE SCHOOLGPT. IT ALSO IS LITREALLY LIKE CHATGPT BUT SMARTER!! HELPED ME WITH MY MASCARA PROBLEMS TOO!! AS WELL AS MY REAL SUBJECTS ! DUHHH 😍😁😲🤑💗✨🎀😮
Elisha
iOS user
This apps acc the goat. I find revision so boring but this app makes it so easy to organize it all and then you can ask the freeeee ai to test yourself so good and you can easily upload your own stuff. highly recommend as someone taking mocks now
Paul T
iOS user