Does such an idea exist? With an economy controlled to that extent I'd say yes, it's called Communism.
That would be a very worrying development in my opinion. Would say you can reach this far and no further and ambition would be severely limited, progress would stop and the whole nations economy would fall quickly behind others that weren't restricted in this way.
Yeah i know Communism.
But no, ambition wont be severly limited IMO.
Then again, i'm not motivated by money and have no interest in the stuff. Besides, if a whole country has this system, then there would be shared ambition in other areas surely?
For example, a Doctor earning the hypothetical top wage, can focus on the treatment of his patients rather than the money he is earning. A buisnessman can focus on the quality of his service rather than the bonus at the end of the year. A politician, can actualy be a public servant rather than a corrupt liar claiming stupid expenses? Surely then ambitions would be focused away from earning the mega $$$, and instead it would go towards creating a better, fairer society?
I know, alot of people Are motivated by money, as money brings power and power is an attractive thing.
But i digress, this IMO would be a perfect society, but even at my young age i know humans are far from perfect. I know that greed will eventually corrupt such a system.
But what reason does the doctor have to focus on treatment? He's not going to get any extra reward for his extra efforts. If he feels he works hard enough then there is not gain for him in working harder. In fact, as his wages have been slashed already, he's probably not feeling like working very hard at all.
At the end of the day, if people don't feel they can be fairly rewarded for working harder, they won't do it. Doctor A will look at Doctor B, both earning the maximum £45k or whatever and say, "He only does x amount of work for his £45k, so that's what I'm going to do."
Reducing inequality is a nice ideal, but this isn't the way to do it.