Posted 1 year ago on Aug. 19, 2012, 3:22 p.m. EST by jrhirsch
from Sun City, CA
This content is user submitted and not an official statement
This graph shows the income of the given percentiles from 1947 to 2010 in 2010 dollars. The 2 columns of numbers in the right margin are the cumulative growth 1970-2010 and the annual growth rate over that period. The vertical scale is logarithmic, which makes constant percentage growth appear as a straight line. From 1947 to 1970, all percentiles grew at essentially the same rate; the light, straight lines for the different percentiles for those years all have the same slope. Since then, there has been substantial divergence, with different percentiles of the income distribution growing at different rates. For the median American family, this gap is $39,000 per year (just over $100 per day): If the economic growth during this period had been broadly shared as it was from 1947 to 1970, the median household income would have been $39,000 per year higher than it was in 2010. This plot was created by combining data from the US Census Bureau and the US Internal Revenue Service. There are systematic differences between these two sources, but the differences are small relative to the scale of this plot.
Translation: The median American family making $51,000 a year now, would instead be making $90,000 a year if the increase in wealth was shared as it was during the 40's, 50's, and 60's.
Outsourcing and other reasons attempt to explain the decline or stagnation in wages, but in reality the overwhelming increase going to the top 1% is coming at the loss of the lower 99%.
http://en.wikipedia.org/wiki/Income_inequality_in_the_United_States going to the top few percent.