EconoMeter: Is income inequality a threat to America's prosperity?
Jonathan Horn, SAN DIEGO U-T
Friday, May 11, 2012
Kelly Cunningham, National University System
But the reasons are not those promulgated by the Occupy Wall Street horde. Existing inequality is not a result of tax cuts for the rich or failure to spend more on social-welfare programs, but the American economy transforming from primary focus on manufacturing to information and technology. This change puts much higher premiums on education. The result is incomes for those with high-school or lower education are stagnant while the income of college graduates and above is significantly increasing. The unfortunate result despite massive increases in education spending is large segments of society remain unprepared for the 21st-century economy.