- Many who started in middle class find lifestyle slipping away, By Aldo Svaldi, October 23, 2011, Denver Post: “Joanne Spillman, 50, grew up in a large home in Denver’s Park Hill neighborhood, never wanting for anything, and never anticipating she would achieve anything less in her life. ‘We were middle class, and our needs were met,’ Spillman said. ‘I always figured I would grow up and live the same lifestyle.’ But Spillman has struggled her whole adult life to reach the standard of living she once knew, a struggle that the recession and weak recovery have made much tougher. Nearly three out of 10 Americans, 28 percent, born in the middle class drop out of it as adults, according to a recent study on economic mobility from The Pew Charitable Trusts. The study defines middle class as those families making between $32,900 and $64,000 in 2010 dollars, which ranks between the 30th and 70th percentiles of income. The 30th percentile was used as a cut-off point because it is where families typically stop relying on government support to get by, said Erin Currier, project manager for Pew’s Economic Mobility Project…”
- Census: Share of Americans on the move falls to record low amid long-term housing and job woes, Associated Press, October 26, 2011, Washington Post: “Yet another symptom of the economic downturn: Americans aren’t moving. Young adults are staying put, often with their parents. Older people aren’t able to retire to beachfront or lakeside homes. U.S. mobility is at its lowest point since World War II. New information from the Census Bureau highlights the continuing impact of the housing bust and unemployment on U.S. migration, after earlier signs that mobility was back on the upswing. It’s a shift from America’s long-standing cultural image of ever-changing frontiers, dating to the westward migration of the 1800s and more recently in the spreading out of whites, blacks and Hispanics in the Sun Belt’s housing boom. Rather than housing magnets such as Arizona, Florida and Nevada, it is now more traditional, densely populated states – California, Illinois, Massachusetts, New York and New Jersey – that are showing some of the biggest population gains in the recent economic slump, according to the data released Thursday…”
Day: October 27, 2011
Income Inequality in the US
- Utah has nation’s lowest ‘income inequality’, By Lee Davidson, October 26, 2011, Salt Lake Tribune: “More than any other Americans, Utahns live among neighbors whose incomes are similar to their own. The rich live with the rich, and the poor with the poor. But the overall range of Utahns’ household incomes is relatively narrow, too, with comparatively few who are exceptionally high- or low-income. That’s according to a report released Wednesday by the U.S. Census Bureau looking at ‘neighborhood income inequality’ between 2005 and 2009…”
- Income inequality lower than average in NW, says Census report, By Jessica Robinson, October 26, 2011, Oregon Public Broadcasting: “New numbers show the gap between the rich and poor has grown across the nation. But income inequality in the Northwest is lower than the national level. That’s according to an analysis released Wednesday by the U.S. Census Bureau. Correspondent Jessica Robinson has more. The report is based on survey data collected between 2005 and 2009 — three years of economic growth, plus two years of recession. It uses three different measurements. And in all of them, Oregon, Idaho and Washington have lower-than-average levels of income inequality. That is, the spread between high wage earners and low wage earners…”
- Top earners doubled share of nation’s income, study finds, By Robert Pear, October 25, 2011, New York Times: “The top 1 percent of earners more than doubled their share of the nation’s income over the last three decades, the Congressional Budget Office said Tuesday, in a new report likely to figure prominently in the escalating political fight over how to revive the economy, create jobs and lower the federal debt. In addition, the report said, government policy has become less redistributive since the late 1970s, doing less to reduce the concentration of income…”
- The rich are getting richer, U.S. study says, By Jim Puzzanghera, October 27, 2011, Los Angeles Times: “The rich got richer over the last three decades – and the very rich got very much richer – according to a new government study. The top 1% of households saw their after-tax incomes grow by 275% from 1979 to 2007, said the study by the nonpartisan Congressional Budget Office. That was more than quadruple the growth of the rest of the top 20% of the population during that period. Meanwhile, income for the 60% of households that make up the middle of the income scale increased by slightly less than 40%, the study found. The poor – the 20% of the population with the lowest incomes – saw just an 18% increase…”
Schools and Budget Cuts
Already financially hurting school districts brace for more cuts ahead, Associated Press, October 24, 2011, Washington Post: “Educators are bracing for a tough reality: As difficult as budget cuts have been on schools, more tough times are likely ahead. Even in a best-case scenario that assumes strong economic growth next year, it won’t be until 2013 or later when districts see budget levels return to pre-recession levels, said Daniel Domenech, executive director of the American Association of School Administrators in Arlington, Va. That means more cuts and layoffs are likely ahead. ‘The worst part is that it’s not over,’ Domenech said. Already, an estimated 294,000 jobs in the education sector have been lost since 2008, including those in higher education…”