How does the income gap affect the economy?

The income gap actually affects the economy negatively. It causes less stable economic expansions and sluggish growth. Mr. Ostry and Andrew G. Berg found that in rich countries and poor, inequality strongly correlated with shorter spells of economic expansion and thus less growth over time. I think the income gap in America drastically affects the economy. If we continue with the same income gap that we have today, it will lead to jobs lost and slower job creation. We have a huge income gap and a suffering economy. I'm not saying that the income gap is the sole cause to our economic difficulties, but I certainly believe that it is one of the leading causes.