Answer: Please mark brainliest
Economic growth more likely when wealth distributed to poor instead of rich
Explanation:
Having money from economic growth flow to poor people rather than the rich feeds into a lift in the rate of economic growth and lower unemployment. Conversely, as income inequality increases, the potential for economic growth is constrained.
The economic case for maintaining a progressive income tax structure and targeting welfare payments to those most in need is overwhelming.
The issue can be illustrated through a simple stylised example which outlines how a higher cash flow to the poorest is growth enhancing while a higher cash flow to the rich boosts savings, but keeps economic growth lower.
