Consumption inequality is way down. That’s important
It's a mistake to place emphasis on income and wealth inequalities rather than consumption inequalities, which are more socially relevant.
For several years, researchers have focused on income and wealth inequalities and their evolution over the last few decades. Last month brought the publication of the 2022 Report of the World Inequality Lab, the fruit of the work of a hundred researchers around the world.
The report tells us, among other things, that the top one per cent’s share of global income fell from 1910 to 1970 but has since been rising. The story is much the same for wealth inequalities: the top one per cent’s share fell from 1910 to 1980 but then stabilized in Western Europe and rose in the United States, though there are recent signs of a possible turnaround. In Canada, as measured by the share of the top 10 per cent, income inequality has followed a similar path to that in the United States, although the increase since 1980 has been less pronounced, and wealth inequality has remained relatively stable since 1995.
Readt the full article on the Financial Post's website
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