Tag Archives: education

Explaining US income inequality by household demographics, 2016 edition – Publications – AEI

Summary:
AEI Explaining US income inequality by household demographics, 2016 edition The Census Bureau released its annual report this week on “Income and Poverty in the United States” with lots of newly updated data on household income and household demographics. Based on those new data, I present my annual post titled “Explaining Income Inequality by Household Demographics” (see my previous versions of this analysis for years 2009, 2010, 2011, 2012, 2013, 2014 and 2015). Most of the discussion on income inequality focuses on the relative differences over time between low-income and high-income American households. But it’s also informative […]

Explaining US income inequality by household demographics, 2016 edition

The Census Bureau released its annual report this week on “ Income and Poverty in the United States ” with lots of newly updated data on household income and household demographics. Based on those new data, I present my annual post titled “ Explaining Income Inequality by Household Demographics ” (see my previous versions of this analysis for years 2009, 2010 , 2011 , 2012, 2013 , 2014 and 2015 ).

Most of the discussion on income inequality focuses on the relative differences over time between low-income and high-income American households. But it’s also informative to analyze the demographic differences […]

The Stanford Center on Poverty and Inequality

STATE OF THE UNION

PATHWAYS • The Poverty and Inequality Report 2016

economic mobilityKEY FINDINGS• When compared to 24 middle-income and high- income countries, the U.S. ranks 16th in the amount of intergenerational earnings mobility.• The relatively low level of mobility in the U.S. may arise in part because low-income children in the U.S. tend to have less stable and lower- income families, less secure families, and parents who have less time to devote to their children.It is often claimed that there is much tolerance in the U.S. for high levels of inequality, as long as that inequal- ity arises from […]

Inequality Crisis: Blacks and Latinos on the Road to Zero Wealth

Home sale. (photo: AP)

Home sale. (photo: AP)
No savings, investments or home equity. This economic dystopia looms for minority families, and so does a choice: Do we want America to be more like Brazil or Canada? hat would U.S. society be like if a majority of families had no wealth – no savings, no home equity, no investments of any kind?

That is exactly where the country is headed if we continue on our current path toward economic dystopia for black and Latino families.
While we celebrate a modest reduction in poverty rates and an encouraging uptick in median income , as disclosed […]

Harnessing the EITC and Other Tax Credits to Promote Financial Stability and Economic Mobility


The Earned Income Tax Credit, or EITC, is one of the nation’s largest and most effective anti-poverty tools. It is a federal tax credit for low- and moderate-income workers that encourages work, boosts family income, and offsets federal payroll and income taxes. In 2012, it helped more than 6.5 million Americans—including 3.3 million children—avoid poverty. The Child Tax Credit, or CTC, protected about 3 million people—1.6 million of them children—from poverty in the same year. A growing body of research finds that these credits are effective tools for boosting economic mobility: Children whose families receive the EITC and other […]

This is what happens when Americans are told about rising inequality

The sharp growth in economic inequality — and its visibility as an issue in both the 2012 and 2016 American political campaigns — has led to an important debate about how to respond.

Some in this debate suggest that economic inequality isn’t that important after all. Instead, they argue, it’s economic opportunity that Americans really care about. Americans just want good jobs and the prospect of upward mobility. It’s not so important to them that the gap between the wealthy and everyone else continues to grow. Indeed, some Democratic strategists believe that focusing on inequality could backfire. Our […]

Income inequality and economic mobility in D.C.

Income quintile and Gini score for major cities in top metro areas

In recent years, researchers have become more interested in the ways that an individual’s environment shapes their ability to climb the socioeconomic ladder. In a famous recent study , Stanford economist Raj Chetty and his coauthors looked at upward mobility, as measured by the proportion of children who went on to make more money than their parents later in life. He found that the overall D.C. commuting zone [1] had high rates of upward mobility, ranking 13 th in the 50 largest U.S. metro areas in upward mobility—and third in the probability that a child born in the poorest […]

This is what happens when Americans are told about rising inequality


A woman holds a sign as she attends an event in support of New York Mayor Bill de Blasio’s progressive agenda against income inequality outside the Capitol in Washington on May 12, 2015. (Carlos Barria/Reuters) The sharp growth in economic inequality — and its visibility as an issue in both the 2012 and 2016 American political campaigns — has led to an important debate about how to respond.

Some in this debate suggest that economic inequality isn’t that important after all. Instead, they argue, it’s economic opportunity that Americans really care about. Americans just want good jobs and the prospect […]

Inequality crisis: Blacks and Latinos on the road to zero wealth

636408365034009201-housing-prices.JPG

No savings, investments or home equity. This economic dystopia looms for minority families, and so does a choice: Do we want America to be more like Brazil or Canada?

What would U.S. society be like if a majority of families had no wealth – no savings, no home equity, no investments of any kind?

That is exactly where the country is headed if we continue on our current path toward economic dystopia for black and Latino families.While we celebrate a modest reduction in poverty rates and an encouraging uptick in median income , as disclosed in this week’s Census report, […]

Thirteen Economic Facts about Social Mobility and the Role of Education


This Hamilton Project policy memo provides thirteen economic facts on the growth of income inequality and its relationship to social mobility in America; on the growing divide in educational opportunities and outcomes for high- and low-income students; and on the pivotal role education can play in increasing the ability of low-income Americans to move up the income ladder. Chapter 1: Inequality Is Rising against a Background of Low Social Mobility

Central to the American ethos is the notion that it is possible to start out poor and become more prosperous: that hard work—not simply the circumstances you were […]