The distribution of wealth
The distribution of wealth has been a difficult subject in the United States for a long time, and the nation has greater wealth disparities between the wealthy and the less fortunate than any other advanced nation in the world (Taylor et al., 14). Income variation is overshadowed by disparities in prosperity. Only the wealthiest Americans have seen increases in their net worth during the past 25 years. Besides, the rich do not only have more fortune than everyone else, but the bulk of their money comes from more worthwhile bases of assets such as the invested stocks and the mutual funds (Taylor et al., 19). The paper intends to focus on two old tables at different periods that highlight family income changes and analyze how it relates to the distribution of household wealth over the two years in the United States.
Change in Real Family Income
The share of American wealth that is held by the countries’ wealthiest has changed remarkably over the years. The year bracket between 1947 and 1979 is almost witnessing equalizing trends concerning household wealth. It is apparent because the overall difference in percentage between the bottom 20 wealthier family and that of top 5 has only a variance of 30 percent (Taylor et al., 26). However, there is a huge difference in the age bracket between 1979 and 2009 which is over 70 percent. The household wealth in 1947 and 1979 has no huge variation given that the gap between the middle and the fourth are almost the same and this trend also reflects on top 20 and top 5 as well as second and the bottom households. Conversely, in 1979 and 2009, it is alarming how there is a huge difference regarding the family wealth given that the gap between the families far much apart means that there is a considerable disparity concerning wealth in the recent past (Taylor et al., 28).
Conclusion
From the data in the two tables, it is clear that household wealth inequality is skyrocketing in the recent years as it is evidence in the Forbes Magazine. The wealthier individuals who make the top list have far much wealth as 21 million poor American households have, and this trend can be attributed to the great recession that has brought huge difference and division in the United States (Taylor et al., 32).
Works Cited
Taylor, Paul, et al. “Wealth gaps rise to record highs between Whites, Blacks and Hispanics.” Washington, DC: Pew Research Center (2011): 37.
