11/12/2008 - Add it to the other depressing economic news: upward mobility has remained stagnant in the past two decades.
A new report by Pew’s Economic Mobility Project broke individuals up into five income brackets or quintiles and found that of those in the lowest bracket, half were still likely to be there 10 years later. It’s a trend that held true for a group studied from 1984 to 1994 and reiterated itself in a group studied from 1994 to 2004.
The report by Urban Institute’s Gregory Acs and Seth Zimmerman, notes that “This finding is somewhat surprising given the changes in the economy in the 1980s and 1990s… Further, although it is promising news that, at least through 2004, mobility rates had not fallen, stagnant mobility rates may be a cause for concern in light of rising income inequality.”
Read the full post Report Shows Stagnant Upward Mobility in U.S. on the Wall Street Journal's Real Time Economics blog.