Income Gap Up Over Two Decades, Data Show

[Ruffhowse]

By LEIGH STROPE, AP Labor Writer

WASHINGTON - Over two decades, the income gap has steadily increased between the richest Americans, who own homes and stocks and got big tax breaks, and those at the middle and bottom of the pay scale, whose paychecks buy less.



The growing disparity is even more pronounced in this recovering economy. Wages are stagnant and the middle class is shouldering a larger tax burden. Prices for health care, housing, tuition, gas and food have soared.


The wealthiest 20 percent of households in 1973 accounted for 44 percent of total U.S. income, according to the Census Bureau (news - web sites). Their share jumped to 50 percent in 2002, while everyone else's fell. For the bottom fifth, the share dropped from 4.2 percent to 3.5 percent.


Jobs and the economy top the list of voter concerns this election year. President Bush (news - web sites) touts a strong economy that is growing, but polls find that Americans have doubts and think jobs are scarce. John Kerry (news - web sites) is trusted more on the economy, with Democrats talking regularly of "two Americas," divided between the rich and everyone else.


That argument has merit, some private economists say.

http://story.news.yahoo.com/news?tmpl=story&cid=514&e=5&u=/ap/20040817/ap_on_re_us/income_gap

[papau]

1. Here below is basic data to 2001 - but where is this new 2002 data?

http://www.census.gov/hhes/income/histinc/ie3.html

Changes in Shares

1967 to 1980 7.5 -4.6 -2.3 2.9 -0.2 -9.7
1980 to 1993 -11.6 -8.7 -6.5 -2.8 7.3 17.7
Table IE-3. Household Shares of Aggregate Income by Fifths
of the Income Distribution: 1967 to 2001

-----------------------------------------------------------------
Share of aggregate income
------------------------------------------------
Year Lowest Second Third Fourth Highest Top 5
fifth fifth fifth fifth fifth percent
-----------------------------------------------------------------
2001 3.5 8.7 14.6 23.0 50.1 22.4
2000 30/ 3.6 8.9 14.8 23.0 49.8 22.1
2000 /29 3.6 8.9 14.9 23.0 49.6 21.9
1999 3.6 8.9 14.9 23.2 49.4 21.5
1998 3.6 9.0 15.0 23.2 49.2 21.4
1997 3.6 8.9 15.0 23.2 49.4 21.7
1996 3.7 9.0 15.1 23.3 49.0 21.4
1995 25/ 3.7 9.1 15.2 23.3 48.7 21.0
1994 24/ 3.6 8.9 15.0 23.4 49.1 21.2
1993 23/ 3.6 9.0 15.1 23.5 48.9 21.0
1992 22/ 3.8 9.4 15.8 24.2 46.9 18.6
1991 3.8 9.6 15.9 24.2 46.5 18.1
1990 3.9 9.6 15.9 24.0 46.6 18.6
1989 3.8 9.5 15.8 24.0 46.8 18.9
1988 3.8 9.6 16.0 24.3 46.3 18.3
1987 21/ 3.8 9.6 16.1 24.3 46.2 18.2
1986 3.9 9.7 16.2 24.5 45.7 17.5
1985 20/ 4.0 9.7 16.3 24.6 45.3 17.0
1984 4.1 9.9 16.4 24.7 44.9 16.5
1983 19/ 4.1 10.0 16.5 24.7 44.7 16.4
1982 4.1 10.1 16.6 24.7 44.5 16.2
1981 4.2 10.2 16.8 25.0 43.8 15.6
1980 4.3 10.3 16.9 24.9 43.7 15.8
1979 18/ 4.2 10.3 16.9 24.7 44.0 16.4
1978 4.3 10.3 16.9 24.8 43.7 16.2
1977 4.4 10.3 17.0 24.8 43.6 16.1
1976 17/ 4.4 10.4 17.1 24.8 43.3 16.0


http://www.census.gov/hhes/income/histinc/f03.html

Year Lowest Second Third Fourth Highest 5
fifth fifth fifth fifth fifth percent
------------------------------------------------------------------------
2001 Dollars

2001 $14,021 $32,466 $51,538 $76,646 $159,644 $280,312
2000 30/ 14,516 33,190 52,163 76,878 161,299 285,824
2000 29/ 14,629 33,169 52,346 77,009 159,868 279,950
1999 14,149 32,924 51,977 76,642 156,973 270,695
1998 13,585 31,975 50,608 74,216 152,756 267,366
1997 13,261 31,072 49,025 71,888 147,691 258,483
1996 12,792 30,158 47,704 69,704 141,118 244,157
1995 25/ 12,994 29,938 46,873 68,582 137,785 236,303
1994 24/ 12,272 29,035 45,851 67,777 136,589 234,331
1993 23/ 11,749 28,217 44,715 66,285 133,927 231,154
1992 22/ 11,853 28,588 45,164 65,648 122,164 192,339
1991 12,337 29,285 45,439 65,904 121,080 187,351
1990 12,914 30,120 46,388 66,711 123,980 194,531
1989 13,047 30,354 47,157 67,846 127,746 204,638
1988 12,789 29,783 46,346 66,561 122,128 190,821
1987 21/ 12,677 29,671 46,073 65,940 120,507 188,647
1986 12,694 29,310 45,409 64,881 116,862 177,463
1985 20/ 12,347 28,333 43,744 62,704 111,435 166,528
1984 12,194 27,920 43,077 61,600 107,058 154,787
1983 19/ 11,781 27,105 41,703 59,436 103,056 148,587
1982 11,950 27,115 41,403 58,734 101,489 145,204
1981 12,654 27,517 42,087 59,089 99,145 138,539
1980 13,045 28,397 42,898 59,516 100,206 142,451
1979 18/ 13,552 29,300 44,188 60,835 104,345 154,454
1978 13,412 29,085 43,673 60,171 102,104 149,623
1977 12,908 27,592 41,498 57,244 96,438 140,591
1976 17/ 12,972 27,453 40,952 55,954 94,174 137,832
Please note that not all footnotes apply to all tables


17/ First year medians were derived using both Pareto and linear interpolation. Before this year, all medians were derived using linear interpolation.
18/ Data reflect implementation of 1980 census population controls. Questionnaire expanded to show 27 possible values from 51 possible sources of income.
19/ Data reflect implementation of Hispanic population weighting controls and introduction of 1980 census-based sample design.
20/ Recording of amounts for earnings from longest job were increased to $299,999. Data reflect full implementation of 1980 census-based sample design.
21/ Data reflect implementation of a new March CPS processing system.
22/ Data reflect implementation of 1990 census population controls.
23/ Data collection method changed from paper and pencil to computer-assisted interviewing. In addition, the March 1994 income supplement was revised to allow for the coding of different income amounts on selected questionnaire items. Child support and alimony limits decreased to $49,999. Limits increased in the following categories: earnings to $999,999; social security to $49,999; supplemental security income and public assistance income to $24,999; and veterans' benefits to $99,999.
24/ Data reflect introduction of 1990 census-based sample design.
25/ Data reflect full implementation of the 1990 census-based sample design and metropolitan definitions, 7,000 household sample reduction, and revised race edits.
26/ Starting in 1999, alternative income definition 7 includes federal EIC and EIC for the nine states that use federal eligibility rules to compute the state credit as a percentage of the federal EIC. The nine states are: Iowa, Kansas, Massachusetts, Maryland, New York, Oregon, Rhode Island, Vermont, and Wisconsin.
27/ Starting in 1999, 50th percentile is based on micro-sorted data.
28/ The CPI-U-RS is a price index of inflation that incorporates most of the improvements in methodology made to the current CPI-U since 1978 into a single, uniform series. See Money Income in the United States: 1999 or the appendix of Money Income in the United States: 1998 for more information. Before 1977 the CPI-U-RS is extrapolated.
29/ Implementation of Census 2000-based population controls.
30/ Implementation of a 28,000 household sample expansion.

[Deja Q]

2. Glad to see that people aren't ignoring the trend.

This stuff must remain circulated and hope that people do something about it.

And Americans are far smarter than Chimdiot* for seeing the TRUTH. There is no strong economy, people still lose their jobs, and those lucky enough to get another are getting piddle-paying jobs. That's not a good way to keep the economy floating.

[Julien Sorel]

3. Another campaign theme: the shrinking middle class.

It's an embarrassment of riches, if you are running the Kerry campaign.

[Name removed]

4. Deleted message

Message removed by moderator. Click here to review the message board rules.

[Moderator]

5. Duplicate topic

http://www.democraticunderground.com/discuss/duboard.php?az=show_topic&forum=102&topic_id=755561