A new study from the Center on Budget and Policy Priorities and the Economic Policy Institute finds that while the gap between the rich and the poor is growing nationwide, it’s growing even faster in Kentucky.
The study says Kentucky has the tenth largest gap between the richest and poorest segments of the population.
Kentucky Youth Advocates Executive Director Terry Brooks says Kentucky can close its gap by implementing an earned income tax credit in which taxes for the middle class would be reduced while taxes for the upper class would go up.
“If our tax structure reflected surrounding states’ tax structure, wealthy Kentuckians would pay a little bit more, but a little bit more from those folks generates lots for the state’s coffers,” says Brooks.
Brooks also says that regulations on payday lenders would help those with the lowest incomes keep more of their earnings.