A roiling debate about income inequality, part LXVII
I’ve said my peace about income inequality in the United States and its social effects some time ago, and I have no wish to dredge up the topic again. However, the rest of the blogosphere is quite taken up with the topic. So let’s link!! Paul Krugman’s latest essay in the Nation — inspired by ...
I've said my peace about income inequality in the United States and its social effects some time ago, and I have no wish to dredge up the topic again. However, the rest of the blogosphere is quite taken up with the topic. So let's link!! Paul Krugman's latest essay in the Nation -- inspired by Aaron Bernstein's Business Week article "Waking Up From the American Dream," which Kevin Jones has reprinted on his blog -- makes the following assertion:
I’ve said my peace about income inequality in the United States and its social effects some time ago, and I have no wish to dredge up the topic again. However, the rest of the blogosphere is quite taken up with the topic. So let’s link!! Paul Krugman’s latest essay in the Nation — inspired by Aaron Bernstein’s Business Week article “Waking Up From the American Dream,” which Kevin Jones has reprinted on his blog — makes the following assertion:
[S]ocial mobility in the United States (which was never as high as legend had it) has declined considerably over the past few decades. If you put that research together with other research that shows a drastic increase in income and wealth inequality, you reach an uncomfortable conclusion: America looks more and more like a class-ridden society. And guess what? Our political leaders are doing everything they can to fortify class inequality, while denouncing anyone who complains–or even points out what is happening–as a practitioner of “class warfare.”
This would seem to dovetail nicely with Louis Uchitelle’s recent New York Times analysis as well, which Brad DeLong links. However, Mickey Kaus points out that in DeLong’s comments section, James Suroweicki and Jim Glass have challenged some of the numbers behgind the NYT analysis. Kaus’ response to Krugman:
Economic inequality’s clearly growing, because the rich are rapidly getting richer. What I resist is the idea that the average worker is getting poorer in absolute terms–a notion now pushed by Paul Krugman in The Nation as well as by Uchitelle. Arguing in this fashion that capitalism doesn’t “deliver the goods” is a mug’s game. It’s the one thing capitalism does! The New Left knew that. The Newer, Hack Left seems to have forgotten. Have Krugman and Uchitelle been to Best Buy and seen all the average families buying big-screen TVs? Casual empiricism suggests that the vast majority of citizens are also getting richer, just more slowly–i.e. not enough to stop the rich-poor “gap” from widening. That gap creates lots of profound problems, but the progressive immiseration of the citizenry is not one of them.
Go read everything. Report back!!
Daniel W. Drezner is a professor of international politics at the Fletcher School of Law and Diplomacy at Tufts University and co-host of the Space the Nation podcast. Twitter: @dandrezner
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