Thursday, November 10, 2011

Rising income inequality?

By Adam Bitely

Numerous reports have come out over the past many days (here, here, and here) disputing the new claim from progressives everywhere that a recent CBO report finally proves that the rich are getting richer while the poor are getting poorer.

Well, it seems that those who have closely studied the data believe that claims of an ever widening wealth gap seem to be, well, not exactly true.

As Sheldon Richman put it, “Today low-income people have things the middle class didn’t dream of 40 years ago — and even some things the rich couldn’t have had at any price because they hadn’t been invented yet. And this is not primarily due to consumer debt.”

Even further, as GMU economics professor Don Boudreaux explained several years back, people that bang the drum loudly that the wealth gap is beginning to widen out of control forget to consider that even though the wealthy get wealthier, the poor get wealthier too:

Get full story here.

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