In recent times, the salaries of the people are souring drastically in major countries. There is a heated debate amongst the people that either it is beneficial for the nation or the administration should set certain limits on salaries of the people. This essay will discuss both the views along with my opinion in the following paragraphs.
To begin with, the former view, the healthy salaries of the people bring positive effects to the countries such as good taxation revenue and the high standard of living of citizens. The increment in salaries motivates the people to consume more and more goods and services; as a result, the manufacturing units in the domestic region will grow and the taxation revenue of a local authority will increase accordingly. Thus, the infrastructure and other facilities will develop the nation. Moreover, the purchasing power of a consumer will increase with the increase in income; hence, the standard of living of the people will improve. For instance, the monthly family budget of an individual will expand due to his healthy income. Thus, the wealthy people make the nation most developed and prosperous.
On the other hand, the increase in salary of a person brings few difficulties too. The first and foremost demerit of the exorbitant salaries is that it might create an inflation in the market. Thus, the excessive money intake may increase the price of the products in the market. As a result, the people with a compatible income could not satisfy their basic needs and the inequality immerge in the society between the rich and the poor. For example, the inflation in the market makes the food and shelter costly, which is potentially dangerous for a middle class family. Lastly, the exorbitant salaries make the people materialistic and that might cause the exploitation of the scarce resources. Thus, the extremely high income creates trouble to the citizens as well as to the environment.
In conclusion, the higher income of an individual has both positive and negative effects on the economy of the nation. In my opinion, the government should form policies with specific upper limit for the salaries of their citizens. Otherwise, many potential economic and environmental problems may occur.
In recent times, the
salaries
of the
people
are souring
drastically
in major countries. There is a heated debate amongst the
people
that either it is beneficial for the
nation
or the administration should set certain limits on
salaries
of the
people
. This essay will discuss both the views along with my opinion in the following paragraphs.
To
begin
with, the former view, the healthy
salaries
of the
people
bring
positive
effects to the countries such as
good
taxation revenue and the high standard of living of citizens. The increment in
salaries
motivates the
people
to consume more and more
goods
and services;
as a result
, the manufacturing units in the domestic region will grow and the taxation revenue of a local authority will
increase
accordingly
.
Thus
, the infrastructure and other facilities will develop the
nation
.
Moreover
, the purchasing power of a consumer will
increase
with the
increase
in
income
;
hence
, the standard of living of the
people
will
improve
.
For instance
, the monthly family budget of an individual will expand due to his healthy
income
.
Thus
, the wealthy
people
make
the
nation
most developed and prosperous.
On the other hand
, the
increase
in
salary
of a person brings few difficulties too. The
first
and foremost demerit of the exorbitant
salaries
is that it might create an inflation in the market.
Thus
, the excessive money intake may
increase
the price of the products in the market.
As a result
, the
people
with a compatible
income
could not satisfy their basic needs and the inequality
immerge
in the society between the rich and the poor.
For example
, the inflation in the market
makes
the food and shelter costly, which is
potentially
dangerous
for a middle
class
family.
Lastly
, the exorbitant
salaries
make
the
people
materialistic and that might cause the exploitation of the scarce resources.
Thus
, the
extremely
high
income
creates trouble to the citizens
as well
as to the environment.
In conclusion
, the higher
income
of an individual has both
positive
and
negative
effects on the economy of the
nation
. In my opinion, the
government
should form policies with specific upper limit for the
salaries
of their citizens.
Otherwise
,
many
potential economic and environmental problems may occur.