Article: A surge in growing income inequality?

Last fall, the Census Bureau announced that in 1993 incomes had dropped and poverty had increased. The Agency also reported that income inequality had risen.(1) The latter piece of news received much attention, similarly to other reports in recent years that have focused on the growing dispersion in the distribution of household incomes.

Inequalities of various kinds in the United States have become a popular topic in the media. But growing income inequality is particularly worrisome because of its immediate implications for social conflict and tension. The economist Paul Krugman recently wrote: "The ultimate effect[s] of growing economic disparities on our social ...

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