Tag Archives: wealth

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 […]

Poor Rich Kids? The Mysterious Decline in Mobility at the Top

A new research study on economic mobility from the Equality of Opportunity Project has the remarkable finding that absolute economic mobility—the likelihood that children will out-earn their parents—has declined dramatically over the last 40 years. Comparing the decline in mobility for middle income families between 1970 and the 2014 reinforces the concerning narrative that the hollowing out of the middle class over the last several decades is not simply a one-generation problem. Credit: Twenty20 The persistence of disadvantage across generations is truly troubling. But perhaps the most puzzling—and least commented upon—finding is the large positive correlation between the parent’s […]

Why Fewer Americans Outearn Their Parents


There was a time when most Americans could expect their children to grow up and be better off than they were. As my colleague Alana Semuels notes , most baby boomers born in the 1940s ended up earning more money than their parents, and they did so well before middle age. But that is no longer the case, according to new research from economists and sociologists at Stanford, Harvard University, and the University of California, Berkeley, which finds that it’s now significantly harder for younger generations to improve their financial standing.

For the first time, economists and sociologists are able […]

Why inequality isn’t just about money – it’s about stability


May 5, 2017 —Which would you rather have: a higher-paying job, or a more predictable one?

Taking a bird’s-eye view of upward mobility probably would lead to the first answer – more money is always a step up. But look beneath the surface, and the second is a deeper concern for a growing swath of Americans. Not knowing how much money is coming in every month, or even every week, can make it hard to cover everyday expenses and even harder to get a leg up on things like saving for retirement and paying for education.

For Kieran Ridge, who owns […]

Poor Rich Kids? The Mysterious Decline in Mobility at the Top

Absolute Mobility

A new research study on economic mobility from the Equality of Opportunity Project has the remarkable finding that absolute economic mobility—the likelihood that children will out-earn their parents—has declined dramatically over the last 40 years. Comparing the decline in mobility for middle income families between 1970 and the 2014 reinforces the concerning narrative that the hollowing out of the middle class over the last several decades is not simply a one-generation problem. The persistence of disadvantage across generations is truly troubling. But perhaps the most puzzling—and least commented upon—finding is the large positive correlation between the parent’s income and […]

The science of inequality: why people prefer unequal societies


Anyone looking for evidence that people have a natural aversion to inequality will find numerous laboratory studies that seemingly confirm their view. Studies have found “a universal desire for more equal pay”, “ egalitarian motives in humans”, “ egalitarianism in young children”, and that “ equality trumps reciprocity ”. A Google Scholar search for “inequality aversion” yields over 10,000 papers that bear on this topic.

When subjects in laboratory studies are asked to divide resources among unrelated individuals, they tend to divide them equally . If a previous situation has led to a pre-existing inequality, people will divide future resources […]

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 […]

The Estate Tax: An Economic Justice No-Brainer

360116-RRDMH

Economic inequality is one of our biggest problems as a society, and it’s ruining our health. But it’s hard to write headlines about something that gets incrementally worse every day, instead of making a dramatic, newsworthy entrance. Bernie Sander’s campaign struck a chord by focusing on income inequality, and Trump garnered popularity by addressing workers on the losing end of the economy (though, I would argue, not with actual solutions).

I wish I could write a column about the perfect solution to income inequality. But a problem with many causes, needs multiple solutions. A lot of opportunity exists within the […]

Bernie Sanders can Calm Down, Inequality is not a Big Problem


Abstract
Income inequality is one of the hottest political issues in the United States. It was at the center of the “Bernie Revolution” in the 2016 Democratic Primaries and continued into the 2016 General Election. A 2015 ABC News poll found that forty-six percent of Americans thought that “the way income and wealth are distributed in the U.S.” worries them a great deal (Feather, 2015). Similarly, Thomas Piketty’s Capital in the 21 Century argued for the dangers of inequality was praised by multiple Nobel Laureate Economists and is already considered one of the most influential books of the […]

Intolerable inequality — Meritocracy cannot counter inequality


Every Supreme Court justice went to Harvard or Yale. One in 10 CEO’s of major companies are named John or David. Eighty percent of job offers come from personal relationships.

In recent years, the left has focused on deconstructing meritocracy by arguing that privilege elevates rich people, white people and people named John or David to undeserved positions of power. They have fought for a more inclusive American dream, where hard work can make any child successful, regardless of identity. In this view, dismantling oppressive systems of privilege and patriarchy can open the doors of opportunity to all Americans.

But the […]