Some Good News
With so much depressing stuff in the news recently, time for some Spring Break cheer. Check out this piece from The Economist that provides some much needed perspective on the hand-wringing about the US economy (hat tip to Instapundit). One money quote:
Median income of American households, commentators often say, has been stagnant, though census figures give a rise of one-fifth since 1980. Lou Dobbs, on CNN's “Lou Dobbs Tonight”, is just one media fabulist who makes his living by claiming that, as America is being “exported”, so the well-being of middle Americans is in a parlous state.
It is a good story, but false on many levels. For a start, this slow growth in median income overlaps with a scale of immigration into America outpacing all immigration in the rest of the world put together. Many immigrants have come precisely to take up the lowest-paid jobs. As a result, in the 20 years to 1999 some 5m immigrant households were added to those defined as below the poverty level. Yet among native-born Americans, poverty rates have declined steadily since the 1960s. In the case of black families, median incomes have recently been rising at twice the pace for the country as a whole.
Strip out immigrants, and the picture of stagnant median incomes vanishes. Indeed, for the nine-tenths of the population that is native-born, middle-income trends continue their improvement of the 1950s and 1960s. For these people, inequality is not rising, but falling. Gregg Easterbrook cheekily points out in his excellent recent book, “The Progress Paradox” (Random House), that if left-leaning Americans seriously want better statistics about middle-income gains, then they should simply close their borders.
I'm not sure I've ever recommended this book since I've been blogging here, but W. Michael Cox and Richard Alm's Myths of Rich and Poor remains the single best book on this subject written in the last five years. If you want to counter the "decline of American well-being" rhetoric of the left, this is the book to read.
comments powered by Disqus
Oscar Chamberlain - 3/17/2004
Are there statistics that show the effect of outsourcing and other job movements be community?
It strikes me that the big problems occur when communities are decimated (and with them the informal social structures that a limited government would depend upon).
- Miami’s Watergate mystery man at heart of newly revealed CIA report
- The Anthropocene epoch: scientists declare dawn of human-influenced age
- ‘No Vacancies’ for Blacks: How Donald Trump Got His Start, and Was First Accused of Bias
- New Yorker profiles activist who's drawing attention to lynchings
- Wisconsin GOP senator wants to replace history professors with Ken Burns videos
- OAH President Nancy Cott says the Library of Congress is being politicized
- NYT publishes historians' plea for the revival of political history
- Some Ohio University professors ditch the textbooks, and the prices
- Renowned Israeli Holocaust Historian: ‘If I Were a British Jew, I’d Be Worried’
- Heather Ann Thompson pries loose the long-kept secrets of Attica in her new book