I just read a fascinating and thought provoking article in the Sunday NY Times that suggests that rising levels of income inequality may have contributed to the wave of financial mania that led to current high levels of foreclosures and bankruptcies. Here is the link:
Income Inequality: Too Big to Ignore? (NY Times 10-17-10)
The point is that as the rich become wealthier and spend more, they raise the bar of expectation for the middle class below them, leading to over-spending and over borrowing in that group. Equally as important, this documented and rising level of inequality, as the top 5% of earners make more while everyone else makes less, is bad for all of us.
Something to think about.
It's not only divorce and bankruptcy that are impacted by inequality. Savings rates, homicide rates, HS dropout rates, GDP growth and your pay are also effected. See what it means for your pay and US society here: http://www.trickler.org
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