Trends in Income From 1975 to 2018

In 2020 the Rand Corporation released an astonishing study of US income trends.

{{ The three decades following the Second World War saw a period of economic growth that was shared across the income distribution, but inequality in taxable income has increased substantially over the last four decades. This work seeks to quantify the scale of income gap created by rising inequality compared to a counterfactual in which growth was shared more broadly. We introduce a time-period agnostic and income-level agnostic measure of inequality that relates income growth to economic growth. This new metric can be applied over long stretches of time, applied to subgroups of interest, and easily calculated. We document the cumulative effect of four decades of income growth below the growth of per capita gross national income and estimate that aggregate income for the population below the 90th percentile over this time period would have been $2.5 trillion (67 percent) higher in 2018 had income growth since 1975 remained as equitable as it was in the first two post-War decades. From 1975 to 2018, the difference between the aggregate taxable income for those below the 90th percentile and the equitable growth counterfactual totals $47 trillion. We further explore trends in inequality by applying this metric within and across business cycles from 1975 to 2018 and also by demographic group. }}

Trends in Income From 1975 to 2018 | RAND.

{{ Traditionally, this kind of upward concentration of wealth has required mass slaughter. How did America’s elites pull this off without needing to mow thousands of us down in the streets?

The answer can be found in the new book “The Big Myth: How American Business Taught Us to Loathe Government and Love the Free Market.” It was written by Naomi Oreskes, a history of science professor at Harvard, and Erik M. Conway, a historian at Caltech’s Jet Propulsion Laboratory, who previously collaborated on “Merchants of Doubt: How a Handful of Scientists Obscured the Truth on Issues From Tobacco Smoke to Global Warming.” }}

Don’t worry. The “mass slaughter” is on the way. There’s no way the economic elites want to pay a Universal Basic Income to all those workers AI is going to put out of a job.



We can talk paychecks earned income all day long. Meanwhile healthcare coverage has shrunk and pensions have disappeared. Those count as pay or were counting as pay but not income.

1970 v 2020 would be an apples to oranges comparison.

There is also the washout of a huge number of mom and pops for the box stores. You have those folks assistant managing Walmarts or CVS drug stores.

Whether you count them as pay or not, wage & benefit theft accrues to the 1%.


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The two are very different. Pay v pay and benefits. Pensions were not considered income in the same sense. Healthcare is better now but much more out of pocket. Meaning people are carrying more debt at higher interest rates.

Bottom line it is a mess.

BTW as pensions disappear and healthcare gets rationed supply side econ is not growing the GDP by much yet the population is growing.

It becomes a fight to get super rich or fall behind. Some 80% fall behind. Very few get rich and importantly stay rich.

The economic elites will be become the latest versions of Louis XVI and Marie Antoinette. Vive la revolution !!!

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Did France have, at that time, a convenient minority for TPTB to blame everyone’s problems on? If so, why did the diversion not work?


Uh, the king and queen were blamed, so–OFF WITH THEIR HEADS !!

In this country we blame immigrants and brown people.


So pretty much anyone who is not Native American?

They’re immigrants as well; they just got here earlier.


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