Tag Archives: technology

Question: 1. Income inequality can be explained by all of th…

1. Income inequality can be explained by all of the following except ​:

A.Ownership of factors of production are not equally distributed and those with greater shares of entrepreneurship tend to experience greater incomes.

B.Changes in tax laws and rates between different periods of time create great disparity among workers.C.Workers have different skill sets which allow some a greater level of productivity.D.Technology has created less of a demand for unskilled labor and a greater return for owners of capital.2. Although poverty is an​ issue, in the U.S.A.most of the population in poverty are illegal immigrants so poverty does not matter much.B.a […]

The author of Rise of the Creative Class is grappling with its dark side

ehpien Georgetown is one of Washington DC’s most expensive neighborhoods. No one has done more to promote the return of educated professionals to cities than Richard Florida. In his 2002 classic The Rise of the Creative Class , Florida argued that “creative class” professionals like engineers, artists, architects, and college professors held the key to revitalizing America’s cities. He encouraged cities to cater to the tastes of these creative professionals by developing walkable urban neighborhoods well-served by transit and with ample amenities.

Florida’s predictions have come true even more quickly than he expected. “I would have never predicted that this […]

How Homeownership Became the Engine of American Inequality

The son of a minister, Ohene Asare grew up poor. His family immigrated from Ghana when he was 8 and settled down in West Bridgewater, Mass., a town 30 miles south of Boston, where he was one of the few black students at the local public school. “It was us and this Jewish family,” Asare remembered. “It was a field day.” His white classmates bullied him, sometimes using racial slurs. His father transferred Asare when he was 14 to Milton Academy, which awarded Asare a scholarship that covered tuition and board. His parents still had to take out loans […]

Egalitarianism under Pressure: Toward Lower Economic Mobility in the Knowledge Economy?

Discussion PaPer series

IZA DP No. 10664

Simen Markussen Knut RøedAny opinions expressed in this paper are those of the author(s) and not those of IZA. Research published in this series may include views on policy, but IZA takes no institutional policy positions. The IZA research network is committed to the IZA Guiding Principles of Research Integrity. The IZA Institute of Labor Economics is an independent economic research institute that conducts research in labor economics and offers evidence-based policy advice on labor market issues. Supported by the Deutsche Post Foundation, IZA runs the world’s largest network of economists, whose research aims […]

Income Inequality Research Paper

CLICK HERE Income Inequality and Poverty – NBER NATIONAL BUREAU OF ECONOMIC RESEARCH . Sunday, April 30, 2017 The first part of this paper argues that income inequality is not a problem in need of remedy. The real distributional problem is not inequality but poverty. The paper Causes and Consequences of Income Inequality : A Global – IMF 1 Jun 2015 1 Frank Wallace and Zhongxia Zhang provided excellent research assistance. We also Wealth and Income Inequality in Advanced and Emerging Market Economies, 2000 ______ 16. 12. objective of this paper is two-fold. ILO Research Paper No. 1: Income […]

The fading American Dream: Trends in absolute income mobility since 1940

One of the defining features of the ‘American Dream’ is the ideal that children have a higher standard of living than their parents (Samuel 2012). In a new paper, we assess whether the US is living up to this ideal by estimating rates of ‘absolute income mobility’ – the fraction of children who earn more than their parents – since 1940 (Chetty et al. 2017).

We measure absolute mobility by comparing children’s household incomes at age 30 (adjusted for inflation using the Consumer Price Index) with their parents’ household incomes at the same age. We find that rates of absolute […]

The New Suburban Crisis

The suburban crisis will not be televised. During the mid-1980s, before anyone thought of the suburbs as being on a downward trajectory, the urban designer David Lewis , a Carnegie Mellon colleague of mine at the time, told me that the future project of suburban renewal would likely make our vast 20th-century urban renewal efforts look like a walk in the park.

Indeed, with their enormous physical footprints, shoddy construction, and hastily installed infrastructure, many suburbs are visibly crumbling. Across the nation, hundreds of suburban shopping malls are dead or dying ; countless suburban factories, like their urban counterparts a […]

Escaping Poverty Requires Almost 20 Years With Nearly Nothing Going Wrong

A man cleans up confetti while surrounded by tourists in Times Square in New York.

Keith Bedford / Reuters A lot of factors have contributed to American inequality: slavery, economic policy, technological change, the power of lobbying, globalization, and so on. In their wake, what’s left?

That’s the question at the heart of a new book, The Vanishing Middle Class: Prejudice and Power in a Dual Economy , by Peter Temin, an economist from MIT. Temin argues that, following decades of growing inequality, America is now left with what is more or less a two-class system: One small, predominantly white upper class that wields a disproportionate share of money, power, and political influence and a […]

Higher Ed’s Role in Economic Mobility

Which colleges in America contribute the most to helping children climb the income ladder? How can we increase access to these colleges for children from low-income families? In a recent paper , my co-authors (Raj Chetty, Emmanuel Saez, Nicholas Turner, and Danny Yagan) and I take a step toward answering these questions by constructing publicly available “Mobility Report Cards” – statistics on students’ earnings in their mid-thirties and their parents’ incomes – for each college and university in the United States.

Mobility Report Cards for Columbia and SUNY-Stony Brook The figure above gives an example of these statistics for […]

No, iPhones Aren’t Luxury Items. They’re Economic Necessities

Apple To make it in America, you have to hustle. Fast-food worker or CEO, Uber driver or student, you have to stay connected in an economy built on the assumption that anyone is always reachable anywhere. In 2017, that means you need a smartphone.

When Apple released the iPhone in 2007, the world understood it as a gadget, a novelty, a cool thing you plunked down a handful of cash for if you were lucky enough to have the money. Then you just needed to figure out what to do with it. At first the answer was: play games and […]