Income gap less in Ohio but growing everywhere
The Columbus Dispatch - February 19, 2014
Jim Siegel’s piece in the Columbus Dispatch highlights findings from the EARN report that Policy Matters released in Ohio, Increasingly Unequal States of America: Income Inequality by State.
The Economic Analysis and Research Network, a group that supports issues such as increased investment in education and a higher minimum wage, found that the share of income held by the top 1 percent declined in 49 states between 1928 and 1979, but there has since been a sharp reversal.
…. In 2011, the report said the average income for the top 1 percent in Ohio was $699,693, compared with $38,583 for the other 99 percent — an 18-to-1 ratio that ranks Ohio 29th in the nation. Connecticut and New York have ratios above 40 to 1.
In 1979, the top 1 percent in Ohio earned 9 percent of income in the state, a figure that grew to 15.9 percent in 2007.
Siegel quotes Zach Schiller, research director at Policy Matters, who pointed out that income-tax cuts benefiting the most affluent Ohioans will only exacerbate income inequality.
“The point is not to say that the income at the top 1 percent grew four times as much as it should have,” Schiller said. “The point is that the economy has grown and a very substantial number of people aren’t benefiting.”
Siegel counters our perspective with quotes from Greg Lawson of the Buckeye Institute, who called for “deregulation and a pro-growth tax code to get jobs created.”