Tuesday, April 25, 2017

The Inequality Trend

  • Over the last 37 years, America’s top 10 percent saw their incomes rise by 115 percent and the top 1 percent saw an incredible rise of 198 percent. Meanwhile, the bottom half of all American earners not only failed to see any gain at all, but their incomes actually declined by 1 percent from 1978 to 2015, according to research by Thomas Piketty. 

  • During the Obama years "the top 1 percent of families captured 52 percent of total real income growth per family from 2009 to 2015 while the bottom 99 percent of families got only 48 percent of total real income growth," reports inequality expert, Emanuel Saez

A team of researchers led by Raj Chetty and David Grusky of Stanford University used data from federal income tax returns and U.S. Census and Current Population Surveys to look at trends of this "absolute mobility," or earning more than one's parents. What they found was a dramatic decline over the past several decades. While nearly all—over 90 percent—of children born in 1940 were able to earn more than their parents, that figure drops to 50 percent for children born in the 1980s.


0 comments: