Income Inequality

The rise in inequality experienced in the United States in the past three-and-a-half decades is not just a story of those in the financial sector in the greater New York City metropolitan area reaping outsized rewards from speculation in financial markets. While many of the highest-income families do live in states such as New York and Connecticut, IRS data make clear that rising inequality and increases in top 1 percent incomes affect every state.

The rise between 1979 and 2007 in top 1 percent incomes relative to the bottom 99 percent represents a sharp reversal of the trend that prevailed in the mid-20th century. This earlier era was characterized by a rising minimum wage, low levels of unemployment after the 1930s, widespread collective bargaining in private industries, and a cultural and political environment in which it was outrageous for executives to receive outsized bonuses while laying off workers. Today, millions of Americans feel tremendous anxiety about their grasp on the American Dream.

In 2013, income inequality was much higher in many states, metropolitan areas, and counties than for the United States overall. In 2013 the top 1 percent of families nationally made 25.3 times as much as the bottom 99 percent (Sommeiller, Price, and Wazeter 2016).

Publications

Publication

Wisconsin Job Watch: 3rd Quarter 2017 Update

In the third quarter of 2017, Wisconsin posted modest job growth, adding just 7,300 jobs. Growth in September had to make up for job losses in the previous months. In August, the state lost 7,100 jobs – the worst month in jobs in more than a year. Private sector job growth in September was strong enough to make up for August’s losses and the state completed the third quarter of 2017 with 2,900 more private sector jobs. Wisconsin’s public sector has been unsteady but ended the quarter with 4,400 additional jobs after a strong September. Public sector employment is now slightly above the January level, despite losses over the summer. The unemployment rate continues to drop slowly across the nation and Wisconsin is not an exception. Unemployment in Wisconsin stands now at 3.5%, significantly below the level of the end of 2016, but up slightly from an early summer low of 3.1%.

Publication

A New Jersey That Works for Working People

New Jersey’s economy has not recovered from the recession like it could – and should – have. Economic difficulties that began with losses in manufacturing jobs throughout the 1980s have persisted. Despite a diverse population and a shift in land use from sprawling suburban growth to more infill development, job numbers and GDP are growing too slowly. And what growth there is, isn’t distributed equally. New Jersey struggles with extreme racial and economic disparities that distribute the benefits of the economy not as shared prosperity, but to the wealthy.

Laying the Foundation: A Wealth-building Agenda for Georgia Women

  • October 19, 2017
  • Melissa Johnson

Building and growing the wealth of women is a necessary concern for Georgia lawmakers striving to keep the state growing and prospering. Women are a majority of Georgia’s adult population and are the primary or co-breadwinners in more than half of Georgia households with children. Women help shoulder the weight of well-being for Georgia’s families, businesses and the economy as a whole now more than ever. This report offers three strategic policy solutions Georgia can pursue to strengthen the financial foundation for the state’s women: paid family leave, support for homeownership and increased entrepreneurship.

Publication

Wisconsin Job Watch: 1st Quarter 2017 Update

After an inconsistent 2016, Wisconsin started off 2017 with a modest job growth across the first quarter. January through March, the state added 12,800 jobs. The growth was concentrated in January and February and offset job losses of 3700 jobs in March. Over the quarter, private sector creation compensated for the loss of almost 7000 jobs in the public sector. Additionally, the unemployment rate continues to edge down nationally and in Wisconsin. Unemployment in Wisconsin stands now at 3.4%, significantly below the level of the end of 2016.