Urban poverty and inequality

Branko Milanovic concludes his Global Inequality by stating that income inequality will not end. Clearly, in an urban setting different cities are able to tackle the problem of income (and wealth) inequality with varying effectiveness. In fact, ex-NYC mayor Mikael Bloomberg has once famously stated that “… if you are poor and homeless you’d be better off in New York City than anyplace else.” Yet, the problem persists and seems to be disrupting economic fundamentals of urban economies, as small businesses and local economies take a hit with declining consumption and lower tax revenues. What is your solution to the income (wealth) inequality problem in a modern city? Is this a universal solution or can there be some variations? explain.