Explain the concept of wage inequality.

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Explain the concept of wage inequality.

Wage inequality refers to the disparity in earnings among individuals or groups within a society. It occurs when some individuals or groups earn significantly higher wages than others, leading to an unequal distribution of income. This inequality can be influenced by various factors such as differences in education, skills, experience, job demand, and bargaining power. Wage inequality can have significant social and economic implications, including reduced social mobility, increased poverty rates, and decreased overall economic growth.