Inequalities have increased between firms and between workers. Globalization also has contributed to rising inequality within economies—although technological change has been the more dominant factor. But it has been a force for reduced inequality between economies.
Has income inequality increased or decreased?
Income inequality has fluctuated considerably since measurements began around 1915, declining between peaks in the 1920s and 2007 (CBO data) or 2012 (Piketty, Saez, Zucman data). Inequality steadily increased from around 1979 to 2007, with a small reduction through 2016, followed by an increase from 2016 to 2018.
What was the median household income in 2007?
With last year’s gain, their 2007 annual earnings were 6.2% higher than in 2000. African American median household income rose 3.2% last year, but took a big hit overall in the 2000s, down 5.1% ($1,800). Figure 3 shows the percentage change in real incomes for various racial and ethnic groups.
What was the national income decline in 2008?
• All racial and ethnic groups saw large declines in income in 2008, with Hispanics getting hit particularly hard. The median white non-Hispanic income declined by 2.6% from 2007 to 2008, while African American households experienced a decline of 2.8%.
What was the poverty rate in the US in 2008?
This is a decline in income of 9.3% for the typical household over these three years. The poverty rate increased from 12.5% to 13.2% between 2007 and 2008, representing an additional 2.6 million people living in poverty.
What was the median household income in 2013?
Between 2007 and 2013, median household incomes declined by 9.2 percent (-$3,506) for African Americans, 5.7 percent (-$2,492) for Latinos, 5.6 percent (-$3,432) for whites and 9.7 percent (-$7,201) for Asians. Asian households continue to have the highest median income in spite of large income losses in the wake of the recession.
