Asset inflation, price inflation, and the great moderation
Economists as penance have been trying to locate the origins of the great chain of causation that has led us to our present situation -- the worrying conclusion is that problems remain -- imbalances precipitated by a labour supply shock [1,2] and/or (the rise of) machines [1,2] have not gone away and continue to persist in decimating the ('developed world's) middle class, as evidenced by high and rising unemployment, which has led to a crisis in central banking itself. [more inside]
posted by kliuless on Oct 31, 2009 - 31 comments

Social mobility, income inequality and wealth disparities. [more inside]
posted by kliuless on Sep 7, 2009 - 54 comments

"The Coming Collapse of the Middle Class" [more inside]
posted by kliuless on May 1, 2008 - 98 comments

40 acres and a mule has been a slogan of African-American economic aspirations ever since the legislation creating the Freedman's Bureau promised ex-slaves parcels not exceeding forty acres each, to the loyal refugees and freedmen. General William Tecumseh Sherman's Special Field Order No. 15 decreed that the land on slave plantations be seized and distributed to freed slaves, but Andrew Johnson rescinded the order and vetoed expansion of the Freedman's Bureau. Both Henry Louis Gates and Dalton Conley have associated the failure to grant freed slaves their "40 acres and a mule" with the wealth gap between black and white Americans, but now an economics grad student, Melinda Miller, has brought important quantitative data to the debate in a new research paper. [more inside]
posted by jonp72 on Dec 14, 2007 - 43 comments

A new U.S. Treasury Report (press release) reports that tax returns from 1996 to 2005 show that income mobility in the U.S. is "considerable," with rising earnings, and top earners who often stumble. The WSJ crows. Pew releases its own research (reports, press release) on income inequality today with a multi-decade outlook, but summarizes the findings as that American families' income mobility is still highly dependent on their parents' position. Forbes and a The New Republic blog try to reconcile the reports. Meanwhile, blacks appear to be downwardly mobile.
posted by shivohum on Nov 13, 2007 - 45 comments

Income inequality continues to rise. Or maybe not.

Professors Emmanuel Saez and Thomas Piketty and the Cato Institute's Alan Reynolds debate on how to measure[PDF] income inequality. Despite the ongoing debate, President Bush has decided, "The fact is that income inequality is real; it's been rising for more than 25 years."
posted by peeedro on Mar 30, 2007 - 81 comments

US income distribution moves towards 3rd world profile? - US Census Bureau data on growing family income inequality, 1947 to 2001. Also see: The "L Curve" (for a graphic depiction of current US wealth distribution). "The most egalitarian countries have a Gini index in the 20s. European countries like Germany, Austria, Belgium, Hungary, Poland, Norway, and Sweden all fall in that range, according to World Bank figures. Canada and Australia are just over 30. The United States is around 40...Once inequality reaches 50 percent, disparities become glaringly obvious, to the point where they undermine a society's sense of unity and common purpose....Sierra Leone takes the prize. At 63 percent, it offers the world's most extreme example of inequality." By multiple measures, income inequality in the US is rapidly increasing, and a substantial percentage of middle class Americans may be gradually sliding into poverty..
posted by troutfishing on Jan 15, 2003 - 137 comments