The AP reports on a report finding the Gap between rich and poor has grown.
The gap between rich and poor is getting bigger in the world’s richest countries – and particularly the United States – as children and low-skilled workers slide deeper into poverty, according to a 30-nation report released Tuesday.
In a 20-year study of its 30 member countries, the Paris-based Organization for Economic Cooperation and Development said children and young adults are 25 percent more likely to be poor than the population average – with an even larger gap for single-parent families…
The United States has the highest inequality and poverty in the OECD after Mexico and Turkey, and the gap has increased rapidly since 2000, the report said…
In the United States, the richest 10 percent earn an average of US$93,000 – the highest level in the OECD. The poorest 10 percent earn an average of US$5,800 – about 20 percent lower than the OECD average
But even with the growing gap, Reuters adds Society is not breaking down. “The gap between the rich and poor has grown in most wealthy nations, but not as quickly as many people believe and not enough to raise fears of social upheaval”. The report also claimed the growing gap was “not one that would justify … talk about the breakdown of society.” So, don’t look for a revolution any time soon.
The full OECD report, “Growing Unequal? Income Distribution and Poverty in OECD Countries,” is available for purchase. Some of the findings for the U.S. made in the report are:
“The distribution of earnings widened by 20% since the mid-1980s which is more than in most other OECD countries. This is the main reason for widening inequality in America.”
“Redistribution of income by government plays a relatively minor role in the United States… This is partly because the level of spending on social benefits such as unemployment benefits and family benefits is low – equivalent to just 9% of household incomes, while the OECD average is 22%.”
“Wealth is distributed much more unequally than income: the top 1% control some 25-33% of total net worth and the top 10% hold 71%. For comparison, the top 10% have 28% of total income.”
Four at Four continues with the U.S. suicide rate increasing at an alarming rate, the Fed to back money market mutual funds, and India’s moon shot.