Monthly Archives: June 2010

State and Local Workers Earn Less than Similar Private Sector Workers

Recession, not overpaid public sector employees to blame for state and local budget woes

A new report from the Center for Economic and Policy Research (CEPR) shows that state and local government workers pay a wage penalty compared to private-sector workers with similar characteristics. Recent media accounts have suggested that state and local workers earn more than private sector employees, but these analyses fail to control for the fact that public employees are on average older and have substantially more formal education than private sector workers, according to the CEPR report. Read the rest of this entry

Income Gaps Between Rich and the Rest of Us Widen

Income Gaps Between Very Rich and Everyone Else More Than Tripled In Last Three Decades, New Data Show

By Arloc Sherman and Chad Stone

“The gaps in after-tax income between the richest 1 percent of Americans and the middle and poorest fifths of the country more than tripled between 1979 and 2007 (the period for which these data are available), according to data the Congressional Budget Office (CBO) issued last week. Taken together with prior research, the new data suggest greater income concentration at the top of the income scale than at any time since 1928.” Read the rest of this entry