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One can usually find centralized wage bargaining. This always compresses each end of the earning spectrum. The U.S. has no such policy. It is easier in other nation's to develop unions as compared to the United States. The United States does little to limit wage inequality. The minimum wage in the U.S. is low, unionization is difficult, and the U.S. doesn't transfer as much money to those who are not working than most other rich democracies (Jencks, 2002). It seems ironic that a country where so much emphasis is placed on social equality places so little effort to reduce economic inequality.
Why would the U...
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