— by Mark Price, Estelle Sommeiller
The top 1 percent of Pennsylvania earners took home more than half the total increase in income over the past 30 years, and saw more than 10 times as much growth in income as the bottom 99 percent, a new report from the Economic Analysis Research Network (EARN) found.
The report findings reinforce the need for a new policy direction in Harrisburg and Washington, D.C. to restore broadly shared prosperity and widespread opportunity, including a much-needed increase in the minimum wage.
After the jump: Minimum wage’s real value.
The levels of inequality we are seeing in Pennsylvania and across the country provide more proof that the economy is not working for the vast majority of people and has not for decades. It is unconscionable that most American families have shared in so little of the country’s prosperity over the last several decades.
In Pennsylvania, the top 1 percent took home 51.5 percent of the total increase in Pennsylvania income between 1979 and 2011. The average income of the bottom 99 percent of Pennsylvania taxpayers grew by 12.1 percent, while the average income of the top 1 percent grew by 125.5 percent — more than 10 times as much.
This 1 percent economy is not just a national story but is evident in every state, and every region. Nevertheless, the fact that inequality in the U.S. declined for more than four decades between the 1940s and the 1970s shows that there is nothing inevitable about the extreme levels of inequality we are currently seeing.