Laura Mahan
Summary and Critique
10/18/15
Causes of Poverty and Discrimination
The United States faced a recession in 2001, and a much greater recession in 2008, known as The Great Recession. The State of Working America illustrates the causes and consequences of the recession, the flaws of the economic policies and reasons for income inequalities within the United States. There are also economic inequalities between genders and racial groups. Income inequality also prevents the increase in economic mobility.
causes of the recession and consequences-
There were many consequences as a result of The Great Recession. Some of these involve the unemployment rate increase to 8.5 percent at the end of 2011 (Mishel, 11) and the price on real …show more content…
In the United States, there is a also a tremendous income inequality between different races. In 2010, the median net worth of white households was $97,000. Black households median net worth was $4,900 and Hispanic households at $1,300 (Mishel, 376).
Income inequality contributes to the fixed, or possibly even the decline in economic mobility (Mishel, 9). Mobility refers to the movement between economic classes. Although some families move between economic classes, most do not. According to research, “61.0 percent of families that start in the bottom fifth are still there a decade later, while 52.2 percent of families that start in the top fifth finish there at the end of the decade” (Mishel, 140). In addition, there is also intergenerational mobility. This refers to the mobility across generations- the economic status that an individual lived in during childhood, greatly predicts the economic status that they will be in during adulthood. “One study found that two-thirds (66.7 percent) of sons of low-earning fathers end up in the bottom two-fifths, while only 18.1 percent make it to the top two-fifths (Mishel, 140). In comparison to European countries, Denmark, Norway, and Finland have more intergenerational mobility than the United
Summary and Critique
10/18/15
Causes of Poverty and Discrimination
The United States faced a recession in 2001, and a much greater recession in 2008, known as The Great Recession. The State of Working America illustrates the causes and consequences of the recession, the flaws of the economic policies and reasons for income inequalities within the United States. There are also economic inequalities between genders and racial groups. Income inequality also prevents the increase in economic mobility.
causes of the recession and consequences-
There were many consequences as a result of The Great Recession. Some of these involve the unemployment rate increase to 8.5 percent at the end of 2011 (Mishel, 11) and the price on real …show more content…
In the United States, there is a also a tremendous income inequality between different races. In 2010, the median net worth of white households was $97,000. Black households median net worth was $4,900 and Hispanic households at $1,300 (Mishel, 376).
Income inequality contributes to the fixed, or possibly even the decline in economic mobility (Mishel, 9). Mobility refers to the movement between economic classes. Although some families move between economic classes, most do not. According to research, “61.0 percent of families that start in the bottom fifth are still there a decade later, while 52.2 percent of families that start in the top fifth finish there at the end of the decade” (Mishel, 140). In addition, there is also intergenerational mobility. This refers to the mobility across generations- the economic status that an individual lived in during childhood, greatly predicts the economic status that they will be in during adulthood. “One study found that two-thirds (66.7 percent) of sons of low-earning fathers end up in the bottom two-fifths, while only 18.1 percent make it to the top two-fifths (Mishel, 140). In comparison to European countries, Denmark, Norway, and Finland have more intergenerational mobility than the United