Two Views of Class Struggle
By Arnold Kling
Since Ronald Reagan became President in 1981, America’s budget system has been geared to supporting the accumulation of vast wealth at the top of the income distribution. Amazingly, the richest 1% of American households now has a higher net worth than the bottom 90%. The annual income of the richest 12,000 households is greater than that of the poorest 24 million households.
Investors Business Daily editorializes,
Add the cost of benefits and pensions, and the average compensation gap between federal and private-sector workers jumps to nearly $62,000 per year — $123,049 vs. $61,051.
In theory, the 12,000 households with the highest incomes are producing more wealth each year than the 24 million households with the lowest incomes. I hate to have to say it, but I find that plausible.
In theory, the average federal worker produces more than twice the wealth of the average private-sector worker. I hate to have to say it, but I find that doubtful.
Obviously, it is very difficult to verify any claim of this sort.