October 2, 2024
The effect of taxes and transfers on low-earning workers’ income.
Despite misperceptions that the United States is limping through late-stage capitalism, American workers are more highly compensated than ever before—even the lowest earners. The 20th percentile earner—worse-off than 80 percent of workers—had annual earnings 19 percent higher in 2022 than in 1979, after accounting for inflation and a decline in women choosing to work only…
September 10, 2024
America is Still Working
Sometimes it seems like Americans can’t decide whether we work too much or too little. We hear that because of rising inequality and a lack of good jobs, workers must toil too many hours at wages too low to support a family. By other accounts, the machines— if not robot overlords, then at least their…
May 14, 2024
Understanding Trends in Worker Pay over the Past 50 years
Key Points Executive Summary Doomers on the political left and right agree that economic growth has failed to translate into higher wages for American workers, with some claiming that pay has barely risen in 50 years. Such sentiments have been buttressed by flawed analyses that, comparing apples to oranges in a variety of ways, have…
March 28, 2024
An Early Look at the Child Tax Credit Changes in the Tax Relief for American Families and Workers Act of 2024
Abstract The Tax Relief for American Families and Workers Act of 2024, which the US House of Representatives passed on January 31, 2024, and the Senate is now considering, would make important changes to the child tax credit (CTC) if enacted. The legislation would increase CTC payments for families with lower earnings, apply a one-year…
May 3, 2023
The Mainline Protestant Ethic and the Spirit of Social Capitalism
When Alexis de Tocqueville penned his seminal Democracy in America lauding the strength of American communities, institutions, and associations, he noted the unique status of religion. Religion, he wrote, “must be regarded as the foremost of the political institutions of that country; for if it does not impart a taste for freedom, it facilitates the…
December 14, 2022
Bringing Home the Bacon: Have Trends in Men’s Pay Weakened the Traditional Family?
Key Points
July 2, 2021
Addressing the Shortcomings of the Supplemental Poverty Measure
Key Points Read the PDF. Executive Summary The US Census Bureau publishes the Supplemental Poverty Measure (SPM) each year to provide important information on low-income Americans’ well-being. In early 2021, a National Academies of Sciences, Engineering, and Medicine (NASEM) panel formed to evaluate and recommend improvements to the SPM. To inform the NASEM panel and…
June 10, 2021
Long Shadows: The Black-White Gap in Multigenerational Poverty
Key Points Executive Summary Issues of racial inequality and injustice are center stage in America today—especially the position and treatment of Black Americans. This report presents evidence on long-term differences in opportunity by race. Previous research showed large racial gaps in poverty and mobility across two generations. We take a longer view, examining patterns of…