A new report from the Economic Analysis and Research Network says that income disparity has increased in all 50 states in the last few decades, and that’s particularly true in Connecticut. The report, “The Increasingly Unequal States of America: Income Inequality by State, 1917 to 2011,” finds:
- Between 1979 and 2007, the top 1% took home well over half (53.9%) of the total increase in U.S. income. Over this period, the average income of the bottom 99%of U.S. taxpayers grew by just 18.9%.
- Meanwhile, the average income of the top 1% grew over 10 times as much—by 200.5%.
- Lopsided income growth occurred in every state between 1979 and 2007. In 15 states – including Connecticut -- the top 1% earned between half and 84 percent of all income growth between 1979 and 2007. In the Nutmeg State, 63.9% of all income growth was captured by the top 1%.
- After incomes at all levels declined as a result of the Great Recession, lopsided income growth has reemerged since the recovery began in 2009, with the top 1 percent capturing an alarming share of economic growth.
- Focusing on inequality in 2011 – the most recent year for which figures are available – New York and Connecticut had the largest gaps between the average incomes of the top 1% and the average incomes of the bottom 99%. In both states, the top 1% earned roughly 40 times that of the bottom 99%.
As stated earlier, Connecticut has seen its fair share of income disparity. The state’s top 1 percent captured 63.9% of the total income growth from 1979 to 2007 and 50% from 2009 to 2011. The top 1% in Connecticut also ranked number 1 out of all 50 states for the most income growth from 1979-2007 with 414.6% growth. This is over 14 times the income growth for the bottom 99% over the same period - they experienced 29% growth.
Read the full report.