The perceptions of inequality

Since long before the Occupy Wall Street movement made headlines in 2011, income inequality has been a hot subject in the news and social media. Given the media attention given to the Occupy movement and the constant chatter about the ultra-rich, such as Jeff Bezos, it's astonishing that average Americans significantly underestimate the scale of income disparity in the United States. The idea is that ordinary people are not used to estimating national wealth distribution and that the unfamiliarity and artificiality of the estimated job utilized in general lead to underestimating inequality.

Although most psychological research has focused on the adverse effects of economic disparity, there are some excellent outcomes. For example, wealth disparity is linked to a greater desire to succeed, and greater demand for accomplishment has also been linked to better earnings and creative pursuits.

Furthermore, perceived wealth inequality represents more opportunity and hope for some people. Unlike in the United States, where inequality meant that the wealthy became richer, inequality meant that some farmers or the offspring of impoverished farmers became quite wealthy in rural China. Moreover, the historical origins of inequality vary per society, and this variation might lead to disparities in inequality impacts.