Justification not yet generated — showing supporting facts

• Income and wealth inequality negatively impact family and child well-being, leading to an unequal distribution of community resources.
• The study 'Monetary policy effect on income and wealth inequality mechanism' by Zheng Wang, Yufei Chen, and Wenjing Sun utilized extensive household survey microdata from China to empirically analyze the effects of expansionary monetary policy on income and wealth inequality.
• Tax policies and administrative practices that result in the uneven receipt of the Earned Income Tax Credit (EITC) and Child Tax Credit (CTC) based on race, family type, and immigration status exacerbate family income and wealth inequality.
• Dylan J. F. Bellisle, Gabrielle Pepin, and Bethany L. Letiecq argue that reforming the estate tax and reducing tax expenditures that disproportionately benefit wealthy families could generate revenue to provide tax relief for families across the income spectrum, fund expanded child and family tax benefits, and reduce ethno-racial income and wealth inequality.
• Federal tax policy can reduce income and wealth inequality by establishing policies that advance both vertical and horizontal equity.
• Tax policy reforms implemented over the past 40-plus years have resulted in increases in income and wealth inequality in the United States.
• Some economists and political scientists assert that income and wealth inequality harm the social, political, and economic fabric of the United States.
• Federal tax policy can reduce income and wealth inequality by establishing policies that advance vertical equity, which is promoted by graduated income tax brackets that apply higher rates to higher income and wealth.
• Research indicates that tax policy reforms implemented over the past 40-plus years have contributed to increases in income and wealth inequality.
• Federal tax policy shapes and conditions family poverty and income and wealth inequality in the United States.
• Despair is proliferating in an era characterized by globalization, deindustrialization, deunionization, increasing automation, historic recessions, income and wealth inequality, wage decline, and austerity cuts to social safety nets, as noted by Case and Deaton (2020).
• Researchers adjusting for potential benefit cuts or tax hikes still find minimal wealth growth among the top 1% and top 10% of earners, similar to trends observed in income inequality.
• The impact of monetary policy on income and wealth inequality is limited in Finland, with the Gini coefficient on gross income increasing by 0.05 percentage points and the Gini coefficient on net wealth increasing by 0.2 percentage points within two years after a reduction in the key policy rate.
• Income and wealth inequality negatively impact family and child well-being by structuring the unequal distribution of family and community resources, which leads to low-income families and Families of Color disproportionately experiencing social, economic, environmental, and political contexts of precarity, deprivation, and insecurity.
• Federal tax policy can reduce income and wealth inequality by establishing policies that advance horizontal equity, which is promoted by ensuring that different sources of income are taxed at similar rates and that similarly structured families pay similar tax rates.
• The top 1% of the population in the United States holds approximately 34% of the total wealth, indicating higher inequality in wealth than in income.
• Wealth inequality is linked to income inequality because families with greater wealth can utilize their capital to invest in their children’s education, shield them from economic hardship, and support their children’s wealth-building prospects.
• Global income and wealth inequality has increased significantly since the 1990s, particularly in developing countries.