In Pursuit of Happiness: How Realistic is the American Dream? Understanding and Seizing Inequality

Abstract

Recognized as the land of the free, the United States has provided the economic stage for many to craft their slice of the American dream. More questionable is that about 11.4% of its citizens are living below the national poverty line despite the national wealth. However, the acceptance that poverty for some is an unfortunate consequence of free markets is present among a strong majority of the American population. By using a ballpark method from, the Gini Coefficient, Equivalence Adjustment, and Mean Logarithmic Deviation, this study illustrates how persistent income inequality is a result of class warfare – a socioeconomic competition among the social classes which plays a vital role in the pursuit of the American Dream. The study recommends that to restore an economy where everyone gets a fair shot, the government needs to make sure that everyone plays by the same set of rules. Tackling high inequalities will create opportunities for all, and education should become a fundamental right for all and not a privilege for the few.