The Rich are Getting Richer….And They’re Staying Richer

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This isn’t going to come as any big surprise, I think, but it turns out that the growth in income inequality over the past 25 years is permanent. A team of researchers sampled tax data going back to 1987 and calculated the variance in earnings between high and low earners. Then they broke that variance into two components: permanent and transitory. This is pretty much exactly what it sounds like. “Transitory” refers to income changes from year to year, for example from increased social mobility as people move up and down the job ladder. Permanent means….permanent. Folks already at the top are just raking in more money.

In any case, the results varied slightly depending on which model they used and what units they studied (individuals vs. households), but the results didn’t vary much. As the chart below shows, basically all of the increase in variance was permanent. Transitory changes in income inequality have changed not a whit since 1987. The rich are getting richer, and they’re staying richer.

Via Wonkblog.

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SIX TRUTHS

Reclaiming power from those who abuse it often starts with telling the truth. And in "This Is How Authoritarians Get Defeated," MoJo's Monika Bauerlein unpacks six truths to remember during the homestretch of an election where democracy, truth, and decency are on the line.

Truth #1: The chaos is the point.

Truth #2: Team Reality is bigger than it seems.

Truth #3: Facebook owns this.

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Truth #5: It's about minority rule.

Truth #6: The only thing that can save us is…us.

Please take a moment to see how all these truths add up, because what happens in the weeks and months ahead will reverberate for at least a generation and we better be prepared.

And if you think journalism like Mother Jones'—that calls it like it is, that will never acquiesce to power, that looks where others don't—can help guide us through this historic, high-stakes moment, and you're able to right now, please help us reach our $350,000 goal by October 31 with a donation today. It's all hands on deck for democracy.

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