Research from the ancient years has shown an incredible increase in the levels of incarceration in the United States. It is proposed that the increase amounts to 44 percent. The increase in the incarceration rates is said to have exceeded the levels of crime. The incarceration rates have always been high in Canada as compared to the US. However, the rate was found to be constant especially in 1994 to 1996. Some researchers have verified that the high detention of prisoners has relatively led to a reduction in the rates of crime. The impact of race, class or income inequality, as well as gender issues have been said to have an influence on the detention of individuals in jail. The effects of these stratifications have been supported by various theories explained by different researchers. Most of these theories explain the increase in the rates of imprisonment as result of the increase in the levels of crime. The theories refer to many countries including the United States. Basing on the given assertions, the paper seeks to examine the social and economic dissimilarities in the American society. This focuses on the class, gender as well as race among the Americans in terms of incarceration. These are issues explained in a sociological perspective. This paper therefore seeks to explain the similarities, differences and directions being taken in the future regarding to the impacts of race, class and gender to the incarceration rates between the USA and Canada basing on the existing historical information and other competing sociological theories. According to the functionalist perspective, inequality has a general significant to the entire society. The assurance of higher payments acts as sources of motivation for individuals to be able to face risks, attain even difficult goals and challenge the existing ideas through exploration and innovation. However, the functionalist mention on differences in ethnicities as contributors to incarceration in the United States. This is because ethnicity differences increase the consensus and cause a lot of conflicts and disagreements. The conflicts will result in fights thus increase in the crime activities which later leads to the increase in the levels of incarceration (Bornstein, 32). Considering the (Intelligence Quotient) IQ theory in the United States of America, the IQ is the major base of argument. The difference in the rates of crime among individuals belonging to different races is as a result of the difference in the Intelligence Quotient between the races. This is supported by the data from (Barker, 24). In this book, it is proved that in spite of the race, individuals who have their intelligence quotient between seventy and ninety have higher crime rates as compared to individuals who have their IQs either below or above this range. It should be noted that the peak range of IQ’s among people ranges from eighty to ninety. To support this claim, the IQs for individuals originating from different races are given; the African Americans have 85, the white Americans have 100 while the Asian Americans have 106. The comparison of crime rates on the basis of races is to a great extent referred to the intell