http://blogs.wsj.com/economics/2014/12/12/u-s-wealth-is-near-a-record-yet-racial-gap-has-widened-since-recession/
"U.S. Wealth Is Near a Record, Yet Racial Gap Has Widened Since Recession"
Wealth inequality has grown at a faster rate than the economy since the Recession. To be fair, the rich were not heavily leveraged like the middle class with their mortgage debt. Middle class Americans were not investing but paying off their years of dis-saving. Of course, paring this growth with a cut in the estate tax is probably bot conducive to overall inequality.
Let me know what you think.
3 comments:
I think it's because more Whites get to have jobs that have higher pay than black people. Around fifteen years ago, significantly more white Americans were going to college, and now these same people are in executive positions making the higher salaries. I think 20 years from now the gap will be much smaller.
I think it is also important to note here the growth in education. More and more people are going to college and achieving higher education. More than ever. This leads to higher incomes and growing wealth. However it is easier to achieve this higher education when you come from an already well off family that can afford the schooling.
Additionally, I think that the article makes a very interesting point in who holds the diversification of wealth historically. A mix of stocks and mortgage can help a lot, but I wonder if more people other than white were laid off their jobs during the recession and that may be part of the reason for the discrepancy?
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