What are the consequences of income inequality?

The inequality of income has not been this high in the US since the Great Depression (see Figure below). According to some estimates, the inequality of wealth is even higher, even though its measurement is more problematic than that of income. read more

The Economic Consequences of Income Inequality By Tuomas Malinen The inequality of income has not been this high in the US since the Great Depression (see Figure below). read more

The increase in U.S. income inequality since 1970 largely reflects gains made by households in the top 20% of the income distribution. Estimates suggest that households outside this group have suffered significant losses from foregone consumption, measured relative to a scenario that holds inequality constant. read more