Global Times - Wealth concentration in China exceeds US.
In the US, the wealthiest 5 percent people hold 60 percent of the wealth of the country, but the middle-class families enjoy the largest part of the incomes.
Let's see what the data says. My source is the 2007 Survey of Consumer Finances, from the Federal Reserve Board. One can look at it a number of different ways. Here are two.
1. The top 1% of wealthholders have 33.8% of the Net Worth; the top 5% hold 60.4% of the NW. The next 45% hold 37.1% of the NW. The top 1% of wealthholders have 16.4% of the income; the top 5% have 33.0% of the income. The next 45% have 44.6% of the income. If the 50th to 95th percentiles of the wealth distribution constitute America's middle class, the article's statement is true. Source: http://lvtfan.typepad.com/lvtfans_blog/2010/04/americas-wealth-distribution-2007-wealth-concentration-part-1-of-3.html
2. The top 10% of income recipients get 59.4% of the income. The top 20% of income recipients get 70.3% of the income. The 40th to 80th income percentiles receive 21.0% of the income; the 40th to 90th receive 31.9% of the income. Source: http://lvtfan.typepad.com/lvtfans_blog/2010/04/americas-wealth-distribution-2007-wealth-concentration-part-2-of-3.html, Table 3.
Are some of those top 10% income folks part of our "middle class?"
How would you advocate viewing the data, and what conclusion would you reach?
Comments