If history is a guide, the covid-19 pandemic could eventually render the distribution of income more egalitarian
poor, the covid-19 pandemic has delivered a swift and brutal reversal of fortune. At the start of the year unemployment was plumbing new lows. Years of wage growth for low-income workers had healed some of the scars left by the global financial crisis. Already by 2016, the most recent year for which figures are available, the economic expansion had produced a smaller rise in American income inequality, after taxes and transfers, than any expansion since the early 1980s.
Meanwhile, workers on the lower rungs of the income ladder have borne the brunt of job losses. America’s unemployment rate rose by roughly ten percentage points, to 14.7%, in April—the highest since the Depression. The jobless rate for workers with a college education went up by nearly six percentage points, to 8.4%; that for workers without a high-school diploma leapt by just over 14 percentage points, to 21.2%.
The most vulnerable workers are therefore likely to be squeezed hard by the recession. But if history is a guide, those at the top of the income distribution could yet face a reckoning. Disruptive global events have often precipitated shifts towards a more equal distribution of income and wealth.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Dr. Gottlieb on why he's hopeful, why this isn't a uniform epidemicDr. Scott Gottlieb discusses coronavirus testing at the White House: 'They want a test they can turn over quickly. They want to get a quick result because they're bringing people in and out of the White House —and that's why they like the Abbott machine.'
Read more »
Why 13 Reasons Why Is Ending With Season 4Brian Yorkey explains the thinking behind ending 13 Reasons Why with season four.
Read more »
Why experts still believe in Haven's mission to change health care, even without Atul GawandeWe might be in the midst of a pandemic, but insiders say there are still opportunities to rethink employer-sponsored health care with the right CEO at the helm.
Read more »
Trump expects coronavirus vaccine by year's end — here's why that's unlikelyWith more than 3.5 million cases of coronavirus worldwide, the race for a vaccine is underway. An expert explains why the 90 companies currently working towards a solution may need more time.
Read more »
If Trump Is Down In The Polls, Why Do So Many Americans Think He’ll Win?Welcome to FiveThirtyEight’s weekly politics chat. The transcript below has been lightly edited. sarahf (Sarah Frostenson, politics editor): FiveThirtyEight alu…
Read more »
Why You'll Still See New Window Displays at Gaspard Boutique in TorontoWhile many businesses have decided to board up their windows, Toronto shop Gaspard still rotates its displays to stay connected with customers.
Read more »