economics: social welfare

When we see individuals holding cardboard signs and asking for spare change wearing camouflage, homelessness among veterans can seem like an epidemic. Recently, however, government efforts to reduce veteran homelessness have had great success. In response to a federal strategy known as Opening Doors, since 2010 veteran homelessness has declined by almost 50%. And in that time period some cities, such as New Orleans, have reported veteran homelessness at functional zero. 

You would never know it from social media. As the world has grappled with the Syrian civil war, political memes have emerged in the U.S. that make the case that we should prioritize homeless veterans over Syrian refugees. These memes foreground a competition between homeless veterans and Syrian refugees in order to make a misleading, emotionally-appealing argument against the resettlement of Syrian refugees.

Deliberately or not, the online images are similar to propaganda. Actors create emotionally-charged illustrations with biased and one-sided evidence to encourage a political point. The memes push a narrative of homeless veterans as overlooked by the government, while this goes against the facts. They also suggest a fallacious argument that the Department of Veterans Affairs will lose funds because of the refugee resettlement program. This is not the case.

At the same time the memes appeal to our sentiments. Features writer for Mashable, Rebecca Ruiz, contends that memes like these pose the emotional question, “If people in the U.S. are suffering, why are we helping refugees?” What if veterans are those slighted? This is a powerful idea because Americans revere veterans.

In Coming Home: Attitudes toward U.S. Veterans Returning from Iraq, sociologists Alair MacLean and Meredith Kleykamp argue that male veterans involved in recent military-related combat are still supported by the general public, even in light of the idea that those exposed to combat have mental health issues and substance abuse problems. They add that veterans are privileged by symbolic capital, or prestige related to their service. A meme that presents veterans as treated unfairly is likely to produce an emotional reaction, something that is known to simplify our thinking and decision-making.

While the digital messages premised on helping veterans are compelling, they are false and a strategic exploitation of our feelings, one with xenophobic, white nationalist, and anti-immigrant goals. They urge us to advocate against Syrian resettlement to solve an unrelated problem that is already diminishing.

Ian Nahan has a Bachelor’s of Arts degree in both sociology and social work. He plans on working with veterans once he obtains a master’s degree in social work at the University of Pennsylvania.

Originally posted at Reports from the Economic Front.

Defenders of capitalism in the United States often choose not to use that term when naming our system, preferring instead the phrase “market system.”  Market system sounds so much better, evoking notions of fair and mutually beneficial trades, equality, and so on.  The use of that term draws attention away from the actual workings of our system.

In brief, capitalism is a system structured by the private ownership of productive assets and driven by the actions of those who seek to maximize the private profits of the owners.  Such an understanding immediately raises questions about how some people and not others come to own productive wealth and the broader social consequences of their pursuit of profit.

Those are important questions because it is increasingly apparent that while capitalism continues to produce substantial benefits for the largest asset owners, those benefits have increasingly been secured through the promotion of policies – globalization, financialization, privatization of state services, tax cuts, attacks on social programs and unions – that have both lowered overall growth and left large numbers of people barely holding the line, if not actually worse off.

The following two figures come from a Washington Post article by Jared Bernstein in which he summarizes the work of Thomas Piketty, Emmanuel Saez and Gabriel Zucman. The first set of bars shows the significant decline in US pre-tax income growth.  In the first period (1946-1980), pre-tax income grew by 95 percent.  In the second (1980-2014), it grew by only 61 percent.

income-trends

This figure also shows that this slower pre-tax income growth has not been a problem for those at the top of the income distribution.  Those at the top more than compensated for the decline by capturing a far greater share of income growth than in the past.  In fact, those in the bottom 50 percent of the population gained almost nothing over the period 1980 to 2014.

The next figure helps us see that the growth in inequality has been far more damaging to the well-being of the bottom half than the slowdown in overall income growth.  As Bernstein explains:

The bottom [blue] line in the next figure shows actual pretax income for adults in the bottom half of the income scale. The top [red] line asks how these folks would have done if their income had grown at the average rate from the earlier, faster-growth period. The middle [green] line asks how they would have done if they experienced the slower, average growth of the post-1980 period.

The difference between the top two lines is the price these bottom-half adults paid because of slower growth. The larger gap between the middle and bottom line shows the price they paid from doing much worse than average, i.e., inequality… That explains about two-thirds of the difference in endpoints. Slower growth hurt these families’ income gains, but inequality hurt them more.

inequality-versus-growth

A New York Times analysis of pre-tax income distribution over the period 1974 to 2014 reinforces this conclusion about the importance of inequality.  As we can see in the figure below, the top 1 percent and bottom 50 percent have basically changed places in terms of their relative shares of national income.

changing-places

The steady ratcheting down in majority well-being is perhaps best captured by studies designed to estimate the probability of children making more money than their parents, an outcome that was the expectation for many decades and that underpinned the notion of “the American dream.”

Such research is quite challenging, as David Leonhardt explains in a New York Times article, “because it requires tracking individual families over time rather than (as most economic statistics do) taking one-time snapshots of the country.”  However, thanks to newly accessible tax records that go back decades, economists have been able to estimate this probability and how it has changed over time.

Leonhardt summarizes the work of one of the most important recent studies, that done by economists associated with the Equality of Opportunity Project. In summary terms, those economists found that a child born into the average American household in 1940 had a 92 percent chance of making more than their parents.  This falls to 79 percent for a child born in 1950, 62 percent for a child born in 1960, 61 percent for a child born in 1970, and only 50 percent for a child born in 1980.

The figure below provides a more detailed look at the declining fortunes of most Americans.   The horizontal access shows the income percentile a child is born into and the vertical access shows the probability of that child earning more than their parents.   The drop-off for children born in 1960 and 1970 compared to the earlier decade is significant and is likely the result of the beginning effects of the changes in capitalist economic dynamics that started gathering force in the late 1970s, for example globalization, privatization, tax cuts, union busting, etc.  The further drop-off for children born in 1980 speaks to the strengthening and consolidation of those dynamics.

american-dream

The income trends highlighted in the figures above are clear and significant, and they point to the conclusion that unless we radically transform our capitalist system, which will require building a movement capable of challenging and overcoming the power of those who own and direct our economic processes, working people in the United States face the likelihood of an ever-worsening future.

Martin Hart-Landsberg, PhD is a professor emeritus of economics at Lewis and Clark College. You can follow him at Reports from the Economic Front.

1Most Americans are either attracted to or repulsed by Donald Trump’s strong rhetoric around the “wall” between the US and Mexico. His plan is to build one taller and wider than the ones we already have, on the assumption that this will curb undocumented immigration and the number of migrants who live here.

But the idea isn’t just exciting or offensive, depending on who you’re talking to, it’s also wrong-headed. That is, there’s no evidence that building a better wall will accomplish what Trump wants and, in fact, the evidence suggests the opposite.

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The data comes from a massive 30-year study led by sociologist Douglas Massey, published last month at the American Journal of Sociology and summarized at Made in America. He and his colleagues collected the migration histories of about 150,000 Mexican nationals who had lived for at least a time in the US and compared them with border policy. They found that:

  • More border enforcement changed where migrants crossed into the US, but not whether they did. More migrants were apprehended, but this simply increased the number of times they had to try to get across. It didn’t slow the flow.
  • Border enforcement did, though, make crossing more expensive and more dangerous, which meant that migrants that made it to the US were less likely to leave. Massey and his colleagues estimate that there are about 4 million more undocumented migrants in the US today than there would have been in the absence of enforcement.
  • Those who stayed tended to disperse. So, while once migrants were likely to stay along the border and go back and forth to Mexico according to labor demands, now they are more likely to be settled all across the US.

In any case, the economic impetus to migrate has declined; for almost a decade, the flow of undocumented migrants has been zero or even negative (more leaving than coming). So, Trump would be building a wall at exactly the moment that undocumented Mexican immigration has slowed. To put it in his terms, a wall would be a bad investment.

Lisa Wade, PhD is an Associate Professor at Tulane University. She is the author of American Hookup, a book about college sexual culture; a textbook about gender; and a forthcoming introductory text: Terrible Magnificent Sociology. You can follow her on Twitter and Instagram.

Originally posted at the Huffington Post.

In the 21st century, it is perhaps time to rethink the American Dream of owning a house. The feasibility of this dream was in the back of my mind the entire time I read Matthew Desmond’s Evicted, the highly praised ethnography of landlords and renters in Milwaukee. Dr. Desmond flips the relationship between poverty and housing instability on its head: eviction is a cause, not a symptom, of poverty.

2 To make a long, well-put, and worth-reading argument short: eviction isn’t rare as many policymakers and sociologists might assume; it is actually a horrifyingly common phenomenon. Urban sociologists have missed the magnitude of the eviction phenomenon because they have traditionally used neighborhoods as the unit of analysis, studying issues such as segregation and gentrification. Because eviction is rarely studied, we don’t have good data on eviction. Establishing a dataset of eviction is not a simple data collecting task, given that there are many forms of informal eviction. The consequences of eviction are devastating and have a profound, negative, and life-long impact on subsequent trajectories: worse housing, more eviction, and homelessness, all disproportionately affecting women of color with children (“a female equivalent of mass incarceration,” Desmond argued at a talk at the University of Pennsylvania last week).

The solution is a universal housing voucher program that is funded using money that currently goes to the mortgage interest tax deduction, a $170 billion program for homeowners that benefits mostly the upper-middle class.

Let’s set the economics of a universal voucher program aside — Desmond and many economists on both sides of the political spectrum (including Harvard economist Edward Glaeser) have already addressed the effects on the market, the argument that such a program will be a disincentive to work, and the fear of the lag time that a program will create in the housing market increasing search times. At the heart of public policy are norms and values, and the existence of the mortgage interest tax deduction — the largest housing assistance program in the country — is not a reflection of an inherent American preference for the rich over the poor. Rather, it is a reflection of an inherent American preference for the homeowner over the renter.

To implement the universal voucher program that Desmond argues for, we need to rethink the way we conceive of homeownership in American culture. As I read Evicted, the work of Robert K. Merton came to mind. In 1938, Merton, one of the contenders for the title “founder of modern sociology,” published a paper titled “Social Structure and Anomie.” In the paper, Merton argues that every society has cultural goals, “a frame of aspirational references,” and institutionalized means, “permissible and required procedures for attaining these ends.”

In American society, the institutionalized means are study hard/work hard (and maybe go to church every so often), and the cultural goals are accumulate wealth and own a house. Obviously, the vast majority of Americans don’t achieve these goals and it is extremely hard to argue that the institutionalized means will actually lead them there. But that’s okay; it just makes for a nation of ritualists. Ritualism is devotion to the means without achieving the goals. These ritualists are everywhere in American society, or at least in the way we perceive our society. We romanticize a fictional poor person that takes pride that s/he never took welfare, for example, no matter how tough times were. Welfare is not one of the institutionalized means, and the ritualist prefers to stay farther away from the goal than to cross the line to non-institutionalized means.

According to City Lab, 41% of all US households are residing in a rental unit. Are these households inhabited by ritualists, trying to achieve the goal but without the means? Maybe, but Merton offers another option – they could be rebels. The rebel may or may not conform to the cultural goals and may or may not use the means. The condition for rebellion, according to Merton, is that “emancipation from the reigning standards, due to frustration or to marginalist perspectives, leads to the attempt to introduce ‘a new social order.’”

If one of the American cultural goals is homeownership, the mortgage interest tax deduction is a tool to maintain this social order. The goal’s support structure recognizes in a sense that, with only the purist version of the institutionalized means (hard work with no government assistance), the goal is out of reach. If that support system is taken away, if we shift funding from the mortgage interest tax credit to a universal housing voucher program, we must recognize that we are supporting a cultural rebellion.

It is time to call for a change in the norms and values that are at the heart of our public policy. That is not a simple task. When I think of the “American,” I think about Ron Swanson from the TV show Parks and Recreation. In one of the show’s episodes, Swanson explains America to a little girl, “Let’s get started. Life, liberty, and property. That’s John Locke. This is your lunch.” Matthew Desmond, by calling for a universal voucher program, challenges this status quo and attempts to put habitability, stability, and opportunity at the heart of our value system and not as byproducts of homeownership and hard work. He also challenges the institutionalized means by calling for an increase in the number of people achieving this new goal — a stable home — specifically through quality rental housing, with government assistance, rather than through hard work alone.

The United States is nation of renters that views itself as a nation of homeowners. The millions of rental households deserve to be a part of the group that achieves the American cultural goal. They deserve government support, they deserve stability, and they don’t deserve to have to break away from the American institutionalized means. We must not shy away from the size of this task. The country might not be ready to think of itself as the nation of renters that it is. The United States is undergoing a housing and eviction crisis, and as Matthew Desmond said in his talk at Penn this week, “This is not us, there is nothing American about this.” It is time for a new social order, for the rise of the renter class as more than ritualists and rebels.

Originally from Tel Aviv, Abraham Gutman is currently at the Center for Public Health Law Research at Temple University. He is an aspiring sociologist working on econometrics, race, policing, and housing. He blogs at the Huffington Post and you can follow him on Twitter.

It’s all harmless political shenanigans until a racist mob murders Vincent Chin.

It’s amazing how the new figureheads of both major parties are now pretending to oppose globalization, outsourcing, and the corporate “free trade” agenda that they both have spent their professional lives furthering. It wasn’t long ago that I taught in my stratification class that this agenda was the one thing we could be sure both parties and the big money behind them wouldn’t give up. Never say never, but I’m still pretty sure that’s still true.

There are humans that are hurt by this agenda, but most of them aren’t Americans. If politicians want to talk about slave labor, exploitation, and environmental degradation in the new manufacturing centers of the world, then I would be happy to listen to them talk about the harmful effects of those practices “here at home” too. But if they just want to bash China, then that’s racist, and no thank you.

Case in point, Pennsylvania Senator Bob Casey at the Democratic National Convention the other day. Here’s his speech, followed by some of the text and my comments:

Casey quoted his father, the former governor:

The sweat and blood of working men and women who built Pennsylvania forged the industrial revolution in our country, and outproduced the world.

How touching, attributing the industrial revolution the efforts of the working class and not the capitalists. It reminds me of when another Pennsylvania governor, Democrat Robert Pattison, reached across the aisle, helping out Republican industrialists by lending them the National Guard to attack striking steelworkers.

I assume today’s Democratic politician will now go on to recognize the working class of today’s manufacturing centers, who, through their sweat and blood, are outproducing the world and building the middle class in their countries. Oh right, Senator Casey is an American.

What about Donald Trump? Donald trump says he stands for workers, and that he’ll put American first, but that’s not how he’s conducted himself in business. Where are his, quote, tremendous products made? Dress shirts: Bangladesh. Furniture: Turkey. Picture frames: India. Wine glasses: Slovenia. Neckties: China. China! Why would Donald Trump make products in every corner of the world, but not in Altoona, Erie, or here in Philadelphia? Well, this is what he said, quote, outsourcing is not always a terrible thing. Wages in America quote, are too high. And then he complained about companies moving jobs overseas because, quote, we don’t make things anymore. Really? … [examples of stuff made in America]. Donald Trump hasn’t made a thing in his life, except a buck on the backs of working people. If he is a champion of working people, I’m the starting center for the 76ers! The man who wants to make America great, doesn’t make anything in America! If you believe that outsourcing has been good for working people, and has raised incomes for the middle class, then you should vote for Donald Trump. … We need to making good paying jobs for everyone here at home, so that everyone who works hard can get ahead and stay there.

The great conflict of our time is between “China” and “working people”? Maybe we should all link arms and together put down striking Chinese workers to keep the price down on our iPhones and Wal-Mart junk.

The Democratic National Convention was very on-message. In Hillary Clinton’s acceptance speech the next day, she said:

If you believe that we should say “no” to unfair trade deals, that we should stand up to China, that we should support our steelworkers and autoworkers and homegrown manufacturers — join us.

She gave no definition of what it means to “Stand up to China,” though her website says she will insist on trade deals that raise wages and create good-paying jobs (presumably in the US). That’s not important — the important thing communicated to her audience is she’s against China and for American workers. Then she went through the same list of Trump production locations that Casey did, before concluding, “Donald Trump says he wants to make America great again – well, he could start by actually making things in America again.” The current U.S. trade deficit in goods (as opposed to services) is about $62 billion — per month. Virtually all Americans are dependent on imported goods (including, apparently, Clinton, whose Nina McLemore suits are made from European and Asian fabrics). No major politician is seriously against this. Trump hiring U.S. workers to make his ties would make about as much difference as Clinton buying clothes with U.S. fabrics, which is basically none. It’s just symbolism, and the symbolism here is “China is bad.” Unless you join this kind of talk with explicit concern for the suffering and exploitation of Chinese workers, this just feeds American racism.

Decades later, Vincent Chin’s murder still resonates with me. There is debate about whether racism was the real motivation behind his murder, and it wasn’t as simple as a random lynch mob. Despite the legend, it is not the case that the auto workers just killed him because they falsely believed he was Japanese. But a witness at the bar said they blamed him for them being out of work before they fought. She said:

I turned around and I heard Mr. Ebens say something about the “little motherfuckers.” And Vincent said, “I’m not a little motherfucker,” and he said, “Well, I don’t know if you’re a big one or a little one.” Then he said something about, “Well, because of y’all motherfuckers we’re out of work.”

After losing the first round, Ronald Ebins and his stepson, Michael Nitz, hunted Chin down and killed him with a baseball bat, a crime for which they ultimately served no jail time.

My 8-year-old Chinese immigrant daughter, who learns all about how racism and bullying are bad and MLK is great in her neoliberal public American elementary school, is routinely offended and hurt by the China-bashing she hears from Democrats as well as Trump (she supported Bernie but is willing to back Hillary to stop Trump).

Hillary says we should protect our children from having to listen to Trump’s nastiness — she even has ad on that, which I’ve personally witness liberals tearing up over:

So, what about the people making speeches at the Democratic convention, spitting out the word China! like it’s a disease? “What example will we set for them?”

If the new normal of politics is both parties bashing foreigners  while they pretend to oppose globalization — and then pursuing the same policies anyway (which, face it, you know they will), then what have we gained? It seems to me there is a small chance Clinton will negotiate better trade deals to the benefit of workers (U.S. or Chinese), alongside a much greater chance that her rhetoric will stoke nativism and racism. Trump’s megaphone may have drawn the White supremacists out from under their rocks, but the new anti-TPP Hillary is bellowing the same obnoxious chauvinism.

Philip N. Cohen is a professor of sociology at the University of Maryland, College Park, and writes the blog Family Inequality, where this post originally appeared. He is the author of The Family: Diversity, Inequality, and Social Change. You can follow him on Twitter or Facebook.

TSP_Assigned_pbk_978-0-393-28445-4Assigned: Life with Gender is a new anthology featuring blog posts by a wide range of sociologists writing at The Society Pages and elsewhere. To celebrate, we’re re-posting four of the essays as this month’s “flashback Fridays.” Enjoy! And to learn more about this anthology, a companion to Wade and Ferree’s Gender: Ideas, Interactions, Institutions, please click here.

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Is the “Mrs. Degree” Dead?, by Laura Hamilton, PhD

In 1998 I was a first-year student at DePauw University, a small liberal arts college in Indiana. A floor-mate of mine, with whom I hung out occasionally, told me over lunch that she was at college primarily to find a “good husband.” I nearly choked on my sandwich. I had assumed that the notion of the “Mrs. Degree” was a relic of my parents’ era—if not my grandparents’. Surely it had gone the way of the home economics major and women’s dormitory curfews.

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Photo via clemsonunivlibrary flickr creative commons

Years later, I — along with my co-director, Elizabeth A. Armstrong — would embark on a five year ethnographic and longitudinal study of a dormitory floor of women at a public flagship in the Midwest. As part of my dissertation, I also interviewed the women’s parents. What I found brought me back to my first year of college. A subset of parents wanted their daughters to be “cookie-baking moms”—not successful lawyers, doctors, or businesswomen. They espoused gender complementarity—a cultural model of how women should achieve economic security that relied on a co-constructed pairing of traditional femininity and masculinity. That is, men were to be economic providers and women supportive homemakers. This was a revised “Mrs.” Degree, in the sense that marriage during college, or even right after, was not desirable. College women were to build the traits and social networks that would hopefully land them a successful husband eventually, but it was assumed best to wait until men had proven themselves in the labor market before entering a marriage.

This was not the only cultural model to which women on the floor were exposed. In fact, those coming in primed for complementarity were in the minority. However, as I show in my article, “The Revised MRS: Gender Complementarity at College,” far more women left college leaning toward gender complementarity than their previous gender socialization suggested. Something was happening on the college campus — where women were, ironically, out-achieving men — that shifted them toward performing an affluent, white, and heterosexual femininity, marked by an emphasis on appearance, accommodation to men, and a bubbly personality.

I argue that gender complementarity is not just a characteristic of individual women, but is actually encouraged by the institutional and interactional features of the typical, four-year, public state school. Midwest U, like other schools of its kind, builds a social and academic infrastructure well-suited to high-paying, out-of-state students interested in partying. The predominately white Greek system — a historically gender-, class-, and racially-segregated institution — enjoys prominence on campus. An array of “easy” majors, geared toward characteristics developed outside of the classroom, allow women to leverage personality, looks, and social skills in the academic sphere. These supports make it possible for peer cultures in which gender complementarity is paramount to thrive. Women who want to belong and make friends find it hard — if not impossible — to avoid the influence of the dominant social scene on campus, located in fraternities and Greek-oriented bars.

This structure of campus life is not incidental. In recent years, cuts to state and federal support for higher education have led mid-tier public institutions like Midwest U to cater to the socially-oriented and out-of-state students who arrive with gender complementarity interests. These class-based processes have implications for the type of social and academic climate that all students find upon arriving at Midwest University.

The problem is, however, that most women need to accrue the skills and credentials that translate into a solid career. An institution supporting gender complementarity does them a serious disservice — potentially contributing to gendered differences in pay after college. The situation is particularly problematic for students not from the richest of families: Affluent women espousing complementarity form the type of networks that give them reasonable hope of rescue by a high-credentialed spouse, and heavy parental support means that they can afford to be in big cities where they mix and mingle with the “right” men. Women from less affluent backgrounds lack these resources, and are often reliant on their own human capital to make it after college.

The gradual shift from higher education as a public good — funded heavily by the state — to a private commodity — for sale to the highest bidder — has significantly stalled not only progress toward class equality, but certain forms of gender equality as well. Change is going to require unlinking the solvency of organizations like Midwest U from the interests of those can afford, and thus demand, an exclusionary and highly gendered social experience.

Laura T. Hamilton, PhD is an assistant professor of sociology at the University of California, Merced. Her recently published article, “The Revised MRS: Gender Complementarity at College,” appears in the April 2014 issue of Gender & Society; this post originally appeared at their blog. She is the author of Parenting to a Degree: How Family Matter’s for College Women’s Success and, with Elizabeth Armstrong, Paying for the Party: How Colleges Maintain Inequality.

NPR recently aired a story about female lawmaker’s representation state by state. According to the story, Colorado has the most women; female lawmakers make up 42% of that total. Wyoming had the least, with women only representing 13% of state lawmakers.

NPR’s experts suggested that term limits in Colorado and a female-friendly party leadership were behind their high number of female legislators, whereas a change in Wyoming from multi-member to single-member district in the 1990s was unfavorable to women (because voters have to pick only one and tend to lean toward men when they have to make hard choices). The story also mentioned voting rules and the difficulty of balancing home, work, and lawmaking responsibilities.

In fact, sociologists have been studying this issue in depth for some time and a few years ago Deborah Carr summarized the reigning wisdom on why women are less likely to be politicians. She highlighted six factors to explain the gender gap in the US Congress:

  1. Women have to face sexism (e.g., glass ceiling – Nancy Pelosi used the term marble ceiling in her inaugural speech as Speaker in 2007), especially voters’ sex role stereotyping “what women can and should be.”
  1. Women are not in the “pipeline,” suggesting that not enough women are in careers that have historically led to political office.
  1. Because of gendered wealth and income inequality, women don’t as often have enough money to run multi-dollar campaigns, nor access to social networks full of big donors.
  1. Women have different interests, focusing on “issues related to family and social welfare, rather than national defense and international relations.”
  1. Women are less likely to be risk-takers than their male counterparts, perhaps explaining why women must be asked several times before they seriously consider launching campaigns.
  1. Women opt out of politics because of family responsibilities.

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To improve female participation in politics, we should promote more gender-neural political environments. Political parties should take further steps to recruit and support female candidates, as Colorado seems to be doing. We should repeatedly encourage women to run for office since they take a lot of encouragement before they seriously consider launching candidacies. More importantly, we need to seed the pipeline by encouraging young girls to get involved in student government and see governing as compatible with their interests and abilities.

Sangyoub Park, PhD is a professor of sociology at Washburn University. His research interests include social capital, demographic trends, and post-Generation Y.  

Wealth inequality in the U.S. is extreme, but global wealth inequality, illustrates a video by The Rules, is even more stunning. Some facts:

  • The top 20% control 80% of the world’s wealth.
  • The richest 2% control more wealth than the bottom half of the world’s population.
  • The richest 300 people on earth have more wealth than the poorest 3,000,000,000.
  • 200 years ago, rich countries were three times as rich as poor countries. Today, they are eighty times richer.
  • Rich countries give $130 billion dollars worth of aid to poor countries every year, but they extract $2 trillion each year thanks to global economic rules.

Here are their sources; or watch the four minute video:

The Rules wants to reveal and challenge the laws that govern our global economy. It is a distinctly sociological project, looking at how factors outside of individuals — or, in this case, countries — shape lives. Shaped strongly by the richest countries in their own best interest, rules governing the trading of goods and money are determining the economic solvency and future of countries.

When those rules are invisible, it can seem like struggling countries are just poorly managed or culturally problematic when, in fact, the rules ensure that the deck is stacked against them.

Hat tip to Martin Hart-Landsberg.

Lisa Wade, PhD is an Associate Professor at Tulane University. She is the author of American Hookup, a book about college sexual culture; a textbook about gender; and a forthcoming introductory text: Terrible Magnificent Sociology. You can follow her on Twitter and Instagram.