narrated public lecture of growing u.s. income inequality
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Growing income inequality in the United States, 2011TRANSCRIPT
Growing US Income Inequality
A Lecture Presented for the Osher Program
San Diego State UniversityApril 18 2011
Denny Braun PhDProfessor Emeritus of Sociology
Minnesota State University1
2
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinking
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasing
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the World
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US locales
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US localesbull The growth of relative income inequality is not only continuous but has become explosive
A basic truth about absolute income differencesis that the US is NOT the richest country
Rank NationGDP capita 2009
Rank NationGDP capita PPP
1 Luxemb 104512
1 Qatar 83841
2 Norway 79085 2 Luxemb 78395
3 Qatar 68872 3 Norway 52561
4 Switz 67560
4 Singapore
50523
5 Denmark 56115 5 Brunei 49110
6 Ireland 51356 6 USA 46381
7 Nether 48223 7 Switz 43007
8 UAE 46857 8 Nether 39938
9 USA 46381 9 Ireland 39468
10 Austria 45989 10 Australia 38911
Source Inter-national Monetary Fund
9
10
Highest Income States
Median Household Income 2009
Lowest Income States
Median Household Income 2009
Maryland $69 272 Mississippi $36646
New Jersey $68342 West Virginia
$37435
Connecticut
$67034 Arkansas $37823
Alaska $66953 Kentucky $40072
Hawaii $64098 Alabama $40489
Massachusetts
$64081 Oklahoma $41664
The Best and Worst States on Median Household Income
Source US Census Bureau American Community Surveys 2008 and 2009
11
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
2
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinking
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasing
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the World
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US locales
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US localesbull The growth of relative income inequality is not only continuous but has become explosive
A basic truth about absolute income differencesis that the US is NOT the richest country
Rank NationGDP capita 2009
Rank NationGDP capita PPP
1 Luxemb 104512
1 Qatar 83841
2 Norway 79085 2 Luxemb 78395
3 Qatar 68872 3 Norway 52561
4 Switz 67560
4 Singapore
50523
5 Denmark 56115 5 Brunei 49110
6 Ireland 51356 6 USA 46381
7 Nether 48223 7 Switz 43007
8 UAE 46857 8 Nether 39938
9 USA 46381 9 Ireland 39468
10 Austria 45989 10 Australia 38911
Source Inter-national Monetary Fund
9
10
Highest Income States
Median Household Income 2009
Lowest Income States
Median Household Income 2009
Maryland $69 272 Mississippi $36646
New Jersey $68342 West Virginia
$37435
Connecticut
$67034 Arkansas $37823
Alaska $66953 Kentucky $40072
Hawaii $64098 Alabama $40489
Massachusetts
$64081 Oklahoma $41664
The Best and Worst States on Median Household Income
Source US Census Bureau American Community Surveys 2008 and 2009
11
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinking
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasing
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the World
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US locales
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US localesbull The growth of relative income inequality is not only continuous but has become explosive
A basic truth about absolute income differencesis that the US is NOT the richest country
Rank NationGDP capita 2009
Rank NationGDP capita PPP
1 Luxemb 104512
1 Qatar 83841
2 Norway 79085 2 Luxemb 78395
3 Qatar 68872 3 Norway 52561
4 Switz 67560
4 Singapore
50523
5 Denmark 56115 5 Brunei 49110
6 Ireland 51356 6 USA 46381
7 Nether 48223 7 Switz 43007
8 UAE 46857 8 Nether 39938
9 USA 46381 9 Ireland 39468
10 Austria 45989 10 Australia 38911
Source Inter-national Monetary Fund
9
10
Highest Income States
Median Household Income 2009
Lowest Income States
Median Household Income 2009
Maryland $69 272 Mississippi $36646
New Jersey $68342 West Virginia
$37435
Connecticut
$67034 Arkansas $37823
Alaska $66953 Kentucky $40072
Hawaii $64098 Alabama $40489
Massachusetts
$64081 Oklahoma $41664
The Best and Worst States on Median Household Income
Source US Census Bureau American Community Surveys 2008 and 2009
11
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinking
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasing
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the World
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US locales
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US localesbull The growth of relative income inequality is not only continuous but has become explosive
A basic truth about absolute income differencesis that the US is NOT the richest country
Rank NationGDP capita 2009
Rank NationGDP capita PPP
1 Luxemb 104512
1 Qatar 83841
2 Norway 79085 2 Luxemb 78395
3 Qatar 68872 3 Norway 52561
4 Switz 67560
4 Singapore
50523
5 Denmark 56115 5 Brunei 49110
6 Ireland 51356 6 USA 46381
7 Nether 48223 7 Switz 43007
8 UAE 46857 8 Nether 39938
9 USA 46381 9 Ireland 39468
10 Austria 45989 10 Australia 38911
Source Inter-national Monetary Fund
9
10
Highest Income States
Median Household Income 2009
Lowest Income States
Median Household Income 2009
Maryland $69 272 Mississippi $36646
New Jersey $68342 West Virginia
$37435
Connecticut
$67034 Arkansas $37823
Alaska $66953 Kentucky $40072
Hawaii $64098 Alabama $40489
Massachusetts
$64081 Oklahoma $41664
The Best and Worst States on Median Household Income
Source US Census Bureau American Community Surveys 2008 and 2009
11
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasing
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the World
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US locales
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US localesbull The growth of relative income inequality is not only continuous but has become explosive
A basic truth about absolute income differencesis that the US is NOT the richest country
Rank NationGDP capita 2009
Rank NationGDP capita PPP
1 Luxemb 104512
1 Qatar 83841
2 Norway 79085 2 Luxemb 78395
3 Qatar 68872 3 Norway 52561
4 Switz 67560
4 Singapore
50523
5 Denmark 56115 5 Brunei 49110
6 Ireland 51356 6 USA 46381
7 Nether 48223 7 Switz 43007
8 UAE 46857 8 Nether 39938
9 USA 46381 9 Ireland 39468
10 Austria 45989 10 Australia 38911
Source Inter-national Monetary Fund
9
10
Highest Income States
Median Household Income 2009
Lowest Income States
Median Household Income 2009
Maryland $69 272 Mississippi $36646
New Jersey $68342 West Virginia
$37435
Connecticut
$67034 Arkansas $37823
Alaska $66953 Kentucky $40072
Hawaii $64098 Alabama $40489
Massachusetts
$64081 Oklahoma $41664
The Best and Worst States on Median Household Income
Source US Census Bureau American Community Surveys 2008 and 2009
11
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the World
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US locales
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US localesbull The growth of relative income inequality is not only continuous but has become explosive
A basic truth about absolute income differencesis that the US is NOT the richest country
Rank NationGDP capita 2009
Rank NationGDP capita PPP
1 Luxemb 104512
1 Qatar 83841
2 Norway 79085 2 Luxemb 78395
3 Qatar 68872 3 Norway 52561
4 Switz 67560
4 Singapore
50523
5 Denmark 56115 5 Brunei 49110
6 Ireland 51356 6 USA 46381
7 Nether 48223 7 Switz 43007
8 UAE 46857 8 Nether 39938
9 USA 46381 9 Ireland 39468
10 Austria 45989 10 Australia 38911
Source Inter-national Monetary Fund
9
10
Highest Income States
Median Household Income 2009
Lowest Income States
Median Household Income 2009
Maryland $69 272 Mississippi $36646
New Jersey $68342 West Virginia
$37435
Connecticut
$67034 Arkansas $37823
Alaska $66953 Kentucky $40072
Hawaii $64098 Alabama $40489
Massachusetts
$64081 Oklahoma $41664
The Best and Worst States on Median Household Income
Source US Census Bureau American Community Surveys 2008 and 2009
11
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US locales
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US localesbull The growth of relative income inequality is not only continuous but has become explosive
A basic truth about absolute income differencesis that the US is NOT the richest country
Rank NationGDP capita 2009
Rank NationGDP capita PPP
1 Luxemb 104512
1 Qatar 83841
2 Norway 79085 2 Luxemb 78395
3 Qatar 68872 3 Norway 52561
4 Switz 67560
4 Singapore
50523
5 Denmark 56115 5 Brunei 49110
6 Ireland 51356 6 USA 46381
7 Nether 48223 7 Switz 43007
8 UAE 46857 8 Nether 39938
9 USA 46381 9 Ireland 39468
10 Austria 45989 10 Australia 38911
Source Inter-national Monetary Fund
9
10
Highest Income States
Median Household Income 2009
Lowest Income States
Median Household Income 2009
Maryland $69 272 Mississippi $36646
New Jersey $68342 West Virginia
$37435
Connecticut
$67034 Arkansas $37823
Alaska $66953 Kentucky $40072
Hawaii $64098 Alabama $40489
Massachusetts
$64081 Oklahoma $41664
The Best and Worst States on Median Household Income
Source US Census Bureau American Community Surveys 2008 and 2009
11
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Major Findings in my Book
bull Absolute income inequality is increasing (the rich are ldquogetting richerrdquo)bull The middle class is shrinkingbull Poverty has been increasingbull US Multinational Corporations cause more inequality both in the US and in the Worldbull Huge inequalities exist between US localesbull The growth of relative income inequality is not only continuous but has become explosive
A basic truth about absolute income differencesis that the US is NOT the richest country
Rank NationGDP capita 2009
Rank NationGDP capita PPP
1 Luxemb 104512
1 Qatar 83841
2 Norway 79085 2 Luxemb 78395
3 Qatar 68872 3 Norway 52561
4 Switz 67560
4 Singapore
50523
5 Denmark 56115 5 Brunei 49110
6 Ireland 51356 6 USA 46381
7 Nether 48223 7 Switz 43007
8 UAE 46857 8 Nether 39938
9 USA 46381 9 Ireland 39468
10 Austria 45989 10 Australia 38911
Source Inter-national Monetary Fund
9
10
Highest Income States
Median Household Income 2009
Lowest Income States
Median Household Income 2009
Maryland $69 272 Mississippi $36646
New Jersey $68342 West Virginia
$37435
Connecticut
$67034 Arkansas $37823
Alaska $66953 Kentucky $40072
Hawaii $64098 Alabama $40489
Massachusetts
$64081 Oklahoma $41664
The Best and Worst States on Median Household Income
Source US Census Bureau American Community Surveys 2008 and 2009
11
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
A basic truth about absolute income differencesis that the US is NOT the richest country
Rank NationGDP capita 2009
Rank NationGDP capita PPP
1 Luxemb 104512
1 Qatar 83841
2 Norway 79085 2 Luxemb 78395
3 Qatar 68872 3 Norway 52561
4 Switz 67560
4 Singapore
50523
5 Denmark 56115 5 Brunei 49110
6 Ireland 51356 6 USA 46381
7 Nether 48223 7 Switz 43007
8 UAE 46857 8 Nether 39938
9 USA 46381 9 Ireland 39468
10 Austria 45989 10 Australia 38911
Source Inter-national Monetary Fund
9
10
Highest Income States
Median Household Income 2009
Lowest Income States
Median Household Income 2009
Maryland $69 272 Mississippi $36646
New Jersey $68342 West Virginia
$37435
Connecticut
$67034 Arkansas $37823
Alaska $66953 Kentucky $40072
Hawaii $64098 Alabama $40489
Massachusetts
$64081 Oklahoma $41664
The Best and Worst States on Median Household Income
Source US Census Bureau American Community Surveys 2008 and 2009
11
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
10
Highest Income States
Median Household Income 2009
Lowest Income States
Median Household Income 2009
Maryland $69 272 Mississippi $36646
New Jersey $68342 West Virginia
$37435
Connecticut
$67034 Arkansas $37823
Alaska $66953 Kentucky $40072
Hawaii $64098 Alabama $40489
Massachusetts
$64081 Oklahoma $41664
The Best and Worst States on Median Household Income
Source US Census Bureau American Community Surveys 2008 and 2009
11
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Highest Income States
Median Household Income 2009
Lowest Income States
Median Household Income 2009
Maryland $69 272 Mississippi $36646
New Jersey $68342 West Virginia
$37435
Connecticut
$67034 Arkansas $37823
Alaska $66953 Kentucky $40072
Hawaii $64098 Alabama $40489
Massachusetts
$64081 Oklahoma $41664
The Best and Worst States on Median Household Income
Source US Census Bureau American Community Surveys 2008 and 2009
11
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
12
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
13
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
-15 -10 -5 0 5 10 15 20 25 30 35
13
19
28
-5
-8
-11
2000-2009
African Ameri-cans
Latinos
Whites
Source Calculated from Census Data Report P60-238
Percent Change in Median Household Income Within Last Two Decades (2009 Dollars)
14
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Who are the poor
bull What are their characteristicsbull Where do they livebull Have their numbers increased over timebull How about the rate of poverty Is that unchanged
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
White Black Hispanic Asian0
5
10
15
20
25
30
94
258 253
125
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
16
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Children (lt 18)
18 - 64 Years
65 amp Over
0 5 10 15 20 25
207
129
89
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
0
10
20
30
143
22
58
325
Percent in Poverty 2009
Source US Census Income Poverty and Health Insurance Coverage (Sep 2010)
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
19
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Facts About US Poverty
bull How ldquopoorrdquo is poor It depends on your family size and your age In 2009 if you were a single mom with 2 kids under 18 you were ldquopoorrdquo if your annual income was $17285 or less For a single person over 65 years old the cut off was $ 10289bull Within the past decade the poverty rate has increased 27 for all persons and 30 for all families bull Thus the poor grew by 12 million in the past decade totally obliterating the 4 million reduction in poor persons that occurred in the 1990s
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Facts About US Poverty (Cont)
bullThe number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poor
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Facts About US Poverty (Cont)
bull The number of Americans who are poor today over 43 million is at an all time high and surpasses the population of most nations One of every 7 persons in our country is poorbull Many many Americans have such low incomes that they are on the brink of poverty at all times In the four year period (2004-2007) just before the onset of The Great Recession nearly one in three Americans fell into poverty for 2 or more months The 2008-2011 figures will surely be even grimmer
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million mark
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Facts About US Poverty (Cont)
bull Lastly one of 11 elderly (65 and over) and 1 of 5 children are living under poverty today bull These two innocent vulnerable groups comprise 44 of poor people approaching the 20 million markbull Unfortunately the United States does not do a very good job protecting our poor through social services and other governmental programs
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reduction
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Facts About US Poverty (Cont)
bull The US has an initial poverty rate lower than many of our industrial peers (263 compared to Swedenrsquos 267 Germanyrsquos 336 UKrsquos 263 Japanrsquos 269)bull After taxes and transfers however our poverty rate only declines to 171 Of the 20 advanced countries we are last in reductionbull For example Sweden goes down to 53 Germany to 11 UK to 83 and Japan to 149 (Source Org for Economic Cooperation amp Development - OECD)
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
31
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Poorest States 2009
Percent in
Poverty
Least Poor States 2009
Percent in
PovertyMississippi 219 New
Hampshire85
Arkansas 188 Alaska 90
Kentucky 186 Maryland 91
DC 184 New Jersey 94
New Mexico 180 Connecticut 94
West Virginia
177 Wyoming 98
The Best and the Worst in 2009 on Poverty Rates
Source US Census Bureau American Community Survey 2009
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
33
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American families
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the year
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Poverty translates into Hunger
bull About 15 of US Households experienced ldquofood insecurityrdquo in 2009mdashwhich translates to over 17 million American familiesbull These households were stalked by hunger and at times did not have enough money to buy enough food at various times during the yearbull Nearly 7 million households (with one million children) had such severe financial problems that they were forced to miss meals on a regular basis
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
Source USDA Economic Research Report No (ERR-108) Nov 2010
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Poverty translates into Hunger (Cont)
bull The number of households with hunger is at an all-time high since data began to be gathered in 1995
bull The number of households experiencing hunger has tripled in the 3 years between 2006 and 2009
Source USDA Economic Research Report No (ERR-108) Nov 2010
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
39
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Since peaking in 1999 (at $38720) median earnings for male workers is 6 lower eleven years later ($36331 in 2009)
Female workers have done slightly better going from $23738 to $26030 in the same periodmdasha 97 increase
Thus in a two-earner husbandwife family earnings have been stagnant for 10 years
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
How is the American Middle Class Doing
In one wordmdashrdquoBadlyrdquo
Even more threatening is anemic job growth Only 7 million new jobs were created in 2002-2007 (before the crash)mdashcompared to 20 million created in the same 5-year period in the 1990s
The Bottom Line Fewer Americans are employed today than a decade ago despite our population growing by 25 million
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
46
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
How have the very rich been doing
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
How have the very rich been doing
In 2007 just before the Great Recession hit us the top 25 CEOs of investment houses ldquoearnedrdquo $22 billion (about the GDP of Costa Rica) The top 5 managers each got over $1 billion (Page and Jacobs)
In 2007 Americarsquos top 1 of earners received 23 of the nationrsquos total income (almost triple the 8 share they got in 1980) (Robert Reich)
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
How have the very rich been doing
In the 1960s CEOs of major American companies earned 25 times the wages of their typical workers by 1980 40 times by 1990 100 times by 2007 350 times (Robert Reich) As of 2009 Michael Hiltzik (LA TIMES) reported a Harvard study putting this ratio at 411 to 1
The combined wealth in 2005 of Sam Waltonrsquos family at $90 billion (Walmart ) Bill Gates (Microsoft) at $46 billion and Warren Buffet at $44 billion is much more than the $95 billion combined wealth of the bottom 40 in the US In short 3 families own as much as 120 million Americans (Robert Reich)
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Average Pay of Top 500 Corporate CEOs 1989 - 2009
Source Forbescom Pay is in constant 2008 dollars
52
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR)
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bull When asked how much they believe typical corporate CEOs ldquoearnrdquo in a year Americans estimate their pay at $500000 (20 times that of unskilled workers or sales clerks)bull In reality the CEOs of the largest Standard and Poors 500 corporations make $14 million per year (See Jacobs and Page CLASS WAR) bull This is 700 times more than the average factory worker and 540 times the salary of the average sales clerk
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipients
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate
Pay Actually Is (Cont)
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Most Americans are Woefully Ignorant about How Exorbitant CEO Corporate Pay Actually Is
bullHacker and Pierson (WINNER TAKE ALL POLITICS) assert that these CEOs and their lieutenants form the bulk of the top 01 of income recipientsbull This top 01 increased their share of all income from 27 in 1974 to 123 in 2007bull When the capital gains of this richest 1-in-1000 is counted this equals $1 trillion per year
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Economic Policy Institute 201159
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
60
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Company CEO in 2009 Total 2009 Pay
Layoffs (1108-410)
Schering-Plough
Fred Hassan $49653063
16000
Johnson amp Johnson
William Weldon $25569844
8900
Hewlett Packard
Mark Hurd $24201448
6400
Walt Disney Robert Iger $21578471
3400
IBM Samuel Palmisano
$21159289
7800
ATampT Randall Stephenson
$20244312
12300
Wal-Mart Michael Duke $19234269
13350
The 7 Highest Paid CEO Layoff Leaders
Source Institute for Policy Studies61
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
62
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What About ldquoRelativerdquo Income Inequality
63
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What About ldquoRelativerdquo Income Inequality
bull It was PresidentJohn Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growth
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What About ldquoRelativerdquo Income Inequality
bull It was President John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter century
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the case
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not researchers often divide income recipients into fifths (called Quintiles or 20 segments)
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What About ldquoRelativerdquo Income Inequality
bull It was John Kennedy who termed the phrasemdashrdquoA Rising Tide Lifts All Boatsrdquomdashmeaning the poor also benefit from economic growthbull It is true that our Real GDP doubled between 1983-2007 while our population increased only by one-third ie per capita real GDP actually did grow over this past quarter centurybull On average then Americans should be better offmdashbut this is definitely not the casebull To get a better idea of who benefits vs those who do not income recipients are often divided into fifths (Quintiles or 20 segments)bull If income were even each pie slice would be the same size
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Lowest 5th 34Second
5th 86
Middle 5th
146
Fourth 5th
232
Highest 5th
503
Percent of all Household Income Received by each Quintile (5th) 2009
Note Top 5 received 217 of ALL household income in the US
Source US Census Bureau Current Population Reports P60-238 Income Poverty and Health Insurance Coverage in the United States 2009
69
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
70
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
71
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Some Dramatic Shifts
bullBetween 1945 and 1980 incomes increased on average by $19000 While the richest 10 of our population captured over 13 of this growth in real dollars the bottom 90 still received the other 23rds of the income increase
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Some Dramatic Shifts
bull Between 1945 and 1980 incomes increased on average by $19000 The richest 10 of our population captured over 13 of this growth in real dollars but the bottom 90 still received the other 23rds of the increasebull Real income rose another $12000 in the 27 years between 1981 and 2008 BUTmdashthe richest 10 got almost all of this increase of income (96) while the bottom 90 received only 4 of the growth In short the very great majority of Americans have simply been totally shut out of any increase in living standards
73
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 150
170
190
210
230
250
270
Mean Household Income of Top 5 Divided by Mean Household
Income of Bottom 40 in 2009 Dollars
Year
Mu
ltip
licati
on
Facto
r
Source Calculated from Census Data in 2010 Income and Poverty Report P60-238
74
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
(X-Axis)
(Y-
Axis
)
75
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
035
036
037
038
039
04
041
042
043
044
045
046
047
048
049
05Household Gini Ratio by Year 1968-
2009
GiniRatio
Source Calculated from Census Data Income Poverty and Health Insurance Coverage in the United States 2009 P60-238
76
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Family Income Gini Score by Country 2009
Source CIA- The World Factbook 200978
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Sweden 230 Namibia 707
Norway 250 South Africa 650
Luxembourg 260 Lesotho 632
Czech Republic 260 Botswana 630
Slovakia 260 Sierra Leone 629
Serbia 260 Central Africa Republic
613
Malta 260 Bolivia 592
Austria 260 Haiti 592
Albania 267 Columbia 585
Germany 270 Brazil 567
Belarus 279 Bosnia amp Herzegovina
562
Iceland 280 Panama 561
Hungary 280 Guatemala 551
Belgium 280 Chile 549
Slovenia 284 Honduras 538
Most Equal Country
Most Unequal Country
Gini
Gini
Source CIA The World Factbook 200979
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
80
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)
High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Why worry about relative income inequality
Research shows that high relative income inequality is associated with
High homicide Rates (nations and US states)
High rates of imprisonment (nations and US States)
High Teen Birthrates (nations and states)High rates of illegal drug use (nations)High infant mortality rates (nations)Lower life expectancy (nations)High rates of Mental Illness (nations)Low rates of contraceptive usage
(nations)Lower access to safe water (nations)
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
For detailed charts and graphs exploring these findings see Richard Wilkinson and Kate Pickett THE SPIRIT LEVEL WHY GREATER EQUALITY MAKES SOCIETIES STRONGER 2009
See especially their free downloadable Power Point presentation at wwwequalitytrustorguk
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
91
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
0390000000000005 0410000000000005 0430000000000005 0450000000000005 047000000000000545
47
49
51
53
55
57
59
61
63
65
2002
2000
1998
19961994
1993
19911990
19891988
1987
1986
1984
1983
1980
19781975
19731972
Percent Who Say Others Cannot be Trusted
by Household Income Inequality and Year
Household Gini Ratio
C
an
no
t B
e T
ruste
d
Source General Social Survey (GSS) Data94
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
041 043 045 047 049450
500
550
600
650
700
750
AZ
CO
GAID
IL
IN
IA
KSKY MA
MI
MN
MS
MOMTNE
NJNM
NC
ND
OH
OK
ORPA
RI SC
SD
VTVA
WA
WV
WI
Percent of Those Eligible who Voted in 2008 by State Household Income
Gini Score
Household Gini Ratio 2007
E
lig
ible
wh
o V
ote
d
Source US Census Bureau Current Population Reports95
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
96
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
041 042 043 044 045 046 047 048 049 0515
17
19
21
23
25
27
29
31
33
35
AZ
AR
CA
DE
HI
ID
IN
KS
KY
ME
OR
MNMT
NE
NV
ND
MI
OK
OR
SC
SDTX
VT
VAWA
Obesity Rates By Inequality in US States
Household Gini Ratio 2007
Perc
ent O
bese
200
8
Source Center for Disease Con-trol
97
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
041 042 043 044 045 046 047 048 049 052
4
6
8
10
12
14
AZ
ARCO
DE
GA
HI
ID
ILIN
IA
NC
LA
ME
MN
MO
MT
NE
NJ
NMNY
ND
OH
OK
OR
PA
SC
SD
TN
VT
WA WV
WY
2010 Unemployment Rate in States by Gini Ratio
Household Income Gini Ratio 2007
U
nem
plo
yed
20
10
Source Bureau of Labor Statistics
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
99
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
100
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePolicies at the National Level
bull Allow the Bush-era tax cuts for the very rich to expirebull Since 1995 the richest 400 households have had their taxes cut 45 or $46 million per household per yearbull Even for those earning $1 million per year their tax cut equals $128000 annually bull For those with middle class incomes our yearly tax cut savings comes to $300bull If these ldquotemporaryrdquo tax cuts are discontinued $1 trillion will be gained over the next decade making it easier to finally balance our national budget
101
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology)
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePolicies at the National
Level
Allow the Bush-era tax cuts for the very rich to expire Cut defense spendingstop fighting needless wars (Stiglitz estimates the Iraq War has cost $3 trillion) Invest in R amp D (cutting-edge Green Technology) Re-industrialize our country especially hi-tech areas Continue to fully fund our public university systemmdashthe envy of the world and the font of our national productivity Reduce our national debt Reinstate more progressive tax rates to protect the middle class (see Robert Reich AFTERSHOCK NY Knopf 2010)
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePersonal Actions You Can
Take
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePersonal Actions You Can
Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFF
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-house
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePersonal Actions You Can Take
bull ldquoThing GloballymdashAct Locallyrdquo Join local action groups that address social ills (hunger homelessness political advocacy etc)bull Consume less and when you domdashbuy carefully eg coops (Sounds Un-Americanmdashright) Read Annie Leonard THE STORY OF STUFFbull Read widely (NEVER STOP LEARNING) use unbiased news sourcesavoid hate-mongering broadcast media pundits eg beware of the FOX in the hen-housebull Use ldquosocial causerdquo VISA cards like WORKING ASSETS
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fund
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groups
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
What is to be DonePersonal Actions You Can Take (Cont)
bull Invest your retirement IRAs 401K money in Social Responsible Investment (SRI) funding companies that ldquoDo No Evilrdquo eg Calvert Fundbull Avoid simplistic extremist politicians hawking know-nothing solutions (cutting taxes will not solve all of our problems but only reward the rich)bull Network Network Networkmdashespecially through the internet Power accrues to individuals when they act as groupsbull Fatal acceptance leads to defeat Never lose hope To preserve equality and democracy we must not fail to act
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-
Thank You so muchQuestions or Comments
Click icon to add picture
- Growing US Income Inequality
- Slide 2
- Major Findings in my Book
- Major Findings in my Book (2)
- Major Findings in my Book (3)
- Major Findings in my Book (4)
- Major Findings in my Book (5)
- Major Findings in my Book (6)
- A basic truth about absolute income differences is that the US
- Slide 10
- Slide 11
- Slide 12
- Slide 13
- Slide 14
- Who are the poor
- Slide 16
- Slide 17
- Slide 18
- Slide 19
- Facts About US Poverty
- Facts About US Poverty (2)
- Facts About US Poverty (3)
- Facts About US Poverty (Cont)
- Facts About US Poverty (Cont) (2)
- Facts About US Poverty (Cont) (3)
- Facts About US Poverty (Cont) (4)
- Facts About US Poverty (Cont) (5)
- Facts About US Poverty (Cont) (6)
- Facts About US Poverty (Cont) (7)
- Facts About US Poverty (Cont) (8)
- Slide 31
- Slide 32
- Slide 33
- Poverty translates into Hunger
- Poverty translates into Hunger (2)
- Poverty translates into Hunger (3)
- Poverty translates into Hunger (Cont)
- Poverty translates into Hunger (Cont) (2)
- Slide 39
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (2)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (3)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (4)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (5)
- How is the American Middle Class Doing In one wordmdashrdquoBadlyrdquo (6)
- Slide 46
- How have the very rich been doing
- How have the very rich been doing (2)
- How have the very rich been doing (3)
- How have the very rich been doing (4)
- How have the very rich been doing (5)
- Slide 52
- Most Americans are Woefully Ignorant about How Exorbitant CEO C
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (2)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (3)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (4)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (5)
- Most Americans are Woefully Ignorant about How Exorbitant CEO C (6)
- Slide 59
- Slide 60
- Slide 61
- Slide 62
- What About ldquoRelativerdquo Income Inequality
- What About ldquoRelativerdquo Income Inequality (2)
- What About ldquoRelativerdquo Income Inequality (3)
- What About ldquoRelativerdquo Income Inequality (4)
- What About ldquoRelativerdquo Income Inequality (5)
- What About ldquoRelativerdquo Income Inequality (6)
- Slide 69
- Slide 70
- Slide 71
- Some Dramatic Shifts
- Some Dramatic Shifts (2)
- Slide 74
- Slide 75
- Slide 76
- Slide 77
- Slide 78
- Slide 79
- Why worry about relative income inequality Research shows that
- Why worry about relative income inequality Research shows that (2)
- Why worry about relative income inequality Research shows that (3)
- Why worry about relative income inequality Research shows that (4)
- Why worry about relative income inequality Research shows that (5)
- Why worry about relative income inequality Research shows that (6)
- Why worry about relative income inequality Research shows that (7)
- Why worry about relative income inequality Research shows that (8)
- Why worry about relative income inequality Research shows that (9)
- Why worry about relative income inequality Research shows that (10)
- Slide 90
- Slide 91
- Slide 92
- Slide 93
- Slide 94
- Slide 95
- Slide 96
- Slide 97
- Slide 98
- Slide 99
- Slide 100
- What is to be Done Policies at the National Level
- What is to be Done Policies at the National Level (2)
- What is to be Done Policies at the National Level (3)
- What is to be Done Policies at the National Level (4)
- What is to be Done Policies at the National Level (5)
- What is to be Done Policies at the National Level (6)
- What is to be Done Policies at the National Level (7)
- What is to be Done Personal Actions You Can Take
- What is to be Done Personal Actions You Can Take (2)
- What is to be Done Personal Actions You Can Take (3)
- What is to be Done Personal Actions You Can Take (4)
- What is to be Done Personal Actions You Can Take (5)
- What is to be Done Personal Actions You Can Take (Cont)
- What is to be Done Personal Actions You Can Take (Cont) (2)
- What is to be Done Personal Actions You Can Take (Cont) (3)
- What is to be Done Personal Actions You Can Take (Cont) (4)
- Thank You so much
-