In many countries in the world, some people earn extremely high salaries. Some people think that this good for a country. Other thinks that the government should not allow salaries above a certain level. Discuss both views and give your opinion.

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

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or the administration should set certain limits on salaries of the people.

This

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essay will discuss both the views along with my opinion in the following paragraphs.

To begin

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with, the former view, the healthy salaries of the people bring positive effects to the countries

such

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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

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, the manufacturing units in the domestic region will grow and the taxation revenue of a local authority will

increase

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accordingly

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.

Thus

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, the infrastructure and other facilities will develop the

nation

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.

Moreover

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, the purchasing power of a consumer will

increase

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with the

increase

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in

income

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;

hence

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, the standard of living of the people will improve.

For instance

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, the monthly family budget of an individual will expand due to his healthy

income

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.

Thus

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, the wealthy people make the

nation

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most developed and prosperous.

On the other hand

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, the

increase

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in salary of a person brings few difficulties too. The

first

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and foremost demerit of the exorbitant salaries is that it might create an inflation in the market.

Thus

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, the excessive money intake may

increase

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the price of the products in the market.

As a result

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, the people with a compatible

income

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could not satisfy their basic needs and the inequality immerge in the society between the rich and the poor.

For example

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, the inflation in the market makes the food and shelter costly, which is potentially dangerous for a middle class family.

Lastly

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, the exorbitant salaries make the people materialistic and that might cause the exploitation of the scarce resources.

Thus

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, the extremely high

income

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creates trouble to the citizens as well as to the environment. In conclusion, the higher

income

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of an individual has both positive and negative effects on the economy of the

nation

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. In my opinion, the government should form policies with

specific upper limit

Suggestion

a specific upper limit

for the salaries of their citizens.

Otherwise

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, many potential economic and environmental problems may occur.