ERP Blogstorm Part 1: Income Inequality

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ERP? Yes indeed. That’s what the cool kids call the Economic Report of the President. The 2017 edition is out, so this weekend I’m going to highlight a few of the charts that caught my eye. These are not necessarily the most important topics in the report. They just happened to strike me as interesting and worth sharing more widely. I’m mostly going to present them without much commentary.

In previous times, I would have called this a series of blog posts. Today I suppose I should call it a blogstorm. Gotta keep up with the lingo, after all. Our first topic is income inequality. Here’s the impact of the 2009 stimulus bill and the Making Work Pay tax credit:

And here’s the impact of changes in tax policy (primarily the effects of the “fiscal cliff” negotiations, which renewed the Bush tax cuts for all but high-income taxpayers):

And finally, here it is all put together: stimulus, tax changes, and Obamacare:

The lowest-income folks saw their after-tax income increase by about 18 percent. The after-tax income of the top 1 percent declined by about 5 percent and the top 0.1 percent declined by about 10 percent.

Not bad. Sadly, nothing infuriates Republicans more than reducing income inequality, and they will do everything they can to reverse this and then some over the next four years. The rich can never be too rich and the poor can never be too poor in GOP land.

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THE TRUTH...

is the first thing despots go after. An unwavering commitment to it is probably what draws you to Mother Jones' journalism. And as we're seeing in the US and the world around, authoritarians seek to poison the discourse and the way we relate to each other because they can't stand people coming together around a shared sense of the truth—it's a huge threat to them.

Which is also a pretty great way to describe Mother Jones' mission: People coming together around the truth to hold power accountable.

And right now, we need to raise about $400,000 from our online readers over the next two months to hit our annual goal and make good on that mission. Read more about the information war we find ourselves in and how people-powered, independent reporting can and must rise to the challenge—and please support our team's truth-telling journalism with a donation if you can right now.

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