This graph shows inequality in earnings (salaries/wages

Student 5: Low Achieved
This graph shows inequality in
earnings (salaries/wages) through
different level qualifications. The
main inequity shown in this graph is
that people with no qualification
earn on average more money than
people that have obtained the
NCEA level3 certificate. On a
second note of inequality shown is
that people who have obtained a
level 1 NCEA certificate earn on
average the same wage/salary as
someone with a level 3 NCEA
certificate.
(Red = 2006) (Blue = 2010)
This graph shows inequality by
region in New Zealand with a 4
year gap.
The inequality shown by this graph
is that certain regions such as
northland have a lower median
income than a region such as
Auckland in 2006. In 2010 the
regions median incomes are more
equal in what they are earning.
This shows that each region is
becoming more equal as the years
go by however there is still
inequality in each region.
This graph shows inequality through gender and
the hourly wage. This graph shows that on
average females are earning $3.50 an hour less
than males. This graph shows that males are
earning more than females which is bias towards
males being “dominant” in the working industry as
they are getting paid more on average per hour,
and this is an example of inequity because this is
unfair as well as being unequal.
Causes for inequality:
Education is a factor as each individual has different access to education and varying capabilities. In a
working sector where demand for educated workers is high creates a higher wage income than for those
with less education. As a result those that cannot afford education or choose not to carry on with education
generally receive a substantially lower wage than those with greater access to education or who have
pursued education. This can be equitable because if you have worked hard to get an education should get
paid more, and you may also have a student loan to pay back.
Gender is a factor in which causes inequality due to some males preferring to engage in dangerous
occupations which in turn pay more than positions with a lower danger rate. This is where females tend to
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be affected by inequality as they tend to go to a less dangerous job or have no job as they are married and
looking after children or are pregnant and therefore not working.
Culture plays a role in creating inequality by encouraging or discouraging wealth gaining behavior thus
providing a basis for discrimination. This is shown through various countries as individuals belonging to a
certain racial and ethnic minorities are poorer and their economy is not as strong as the rest of the world.
I.e. third world countries where people get paid pittance for the amount of work they complete.
This Lorenz curve shows that in
1982 the distribution of income
was closer to the line of equality
and as the years go on, it is
getting further and further away
from the line of equality. The
gap between the rich and the
poor is widening, “the poor are
getting poorer and the rich are
getting richer.
Those that have enough income
are able to put more money into
income generating assets that
will improve their ability to earn
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income whereas those with a
smaller income aren’t able to
put as much money in to
income generating assets as
those with enough income,
therefore this gap is created
between the those that have
enough income and those who don’t. The social impacts of inequality can be caused when a younger
person is earning either less or more than an older person who has been working for longer and also
different ethnic groups are treated differently, therefore are receiving less or more than other ethnic groups.
The government can lessen the negative effects of inequality by raising the wages of certain jobs such as
lower paying jobs. The government can also lower this by attempting to raise the wages for ethnic groups
to put them on par with the higher earning ethnic groups.
The government can also help other ethnic groups earn qualifications by reducing the cost to get the
qualifications they require a.k.a. “NMIT’s half a degree for free”. This will enable all ethnic groups the same
level of equality and accessibility to gaining qualifications for higher end jobs that are earning more on
average. E.g. Doctors, this will help decrease inequality through the help of the government by reducing the
cost for qualifications and raising the average incomes of ethnic groups.
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