The Obama White House argues hard that rising US income inequality makes it tougher for Americans to climb the economic ladder. When President Obama gave a big speech on “social mobility” earlier this month – liberal pundits called it the “most important” of his presidency – he mentioned inequality more than two dozen times to pound the point home. And Team Obama has much publicized its chart illustrating the “Great Gatsby Curve” which suggests strong correlation globally between high income inequality and low earnings mobility.
How many times in such an important speech did Obama mention anything about American family breakdown perhaps impeding economic mobility? Just a couple of passing references.
Yet the issue of family breakdown deserves at least as much attention, if not more, from Obama than income inequality. Using data on local jobs markets from the Equality of Opportunity Project, e21 economist Scott Winship can’t find much of a statistical relationship between inequality – particularly of the 1% vs. 99% sort — and economic mobility….