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Xiang Zhou and Jason D. Shaw

In this chapter the authors review the literature in economics, sociology, and management disciplines to evaluate the organizational and societal outcomes of income inequality. Within-organizational income inequality has been shown to link with both attitudinal and behavioral outcomes. The consequences of within-country income inequality are summarized and categorized into six aspects: health, crime, education, politics, social relations, and economic growth. The authors conclude the chapter with a proposal for social innovations that organizations and government may conduct to alleviate the problem of income inequality and directions for future research to address.