“…there is no evidence that people are bothered by economic inequality itself. Rather, they are bothered by something that is often confounded with inequality: economic unfairness.” - Starmans, Sheskin, & Bloom (2017)
“Inequality alone - that is, controlling for poverty and social mobility - does not appear to a strong, consistent or direct effect on society-wide levels of happiness. And in the US and elsewhere, surveys have consistently found that inequality simply isn’t a pressing issue for most people.” - Exploring the Problem Space/Inequality and Happiness: What's the Connection? September 7, 2020
“Contrary to popular perceptions, populist voters are not uniformly deplorable, stupid and racist; they are deeply motivated by perceptions of a rigged, socially immobile economy. Whether a citizen has an unlucky start in life or is knocked down by an economic crisis, too many Americans cannot get ahead on their own merits. Given the Democrats’ recent drubbing in Virginia, the party would do well to pivot away from condescending culture wars and towards a fairer economy where opportunity is more equal and reward is allocated in line with contribution.” - Eric Protzer/Letter to the Economist December 4, 2021
Be it resolved: social mobility matters way more than income or wealth inequality. So what can government do to increase social mobility in the US? Here are a few ideas*, with links to related posts:
1. Subsidize Childcare for Those in Need
2. Establish Universal Healthcare System with Serious Cost Controls
The Bold Centrist, Part VII: How to Pay for Universal Health Care on a Budget
How Does Medicare for All Compare with Other Universal Healthcare Options in the US?
3. Facilitate Lifelong Skill Building through an Adult Education Basic Income
4. Increase Stock of Affordable Housing
5. Improve Public Safety
False Dichotomy Department: Address Root Cause or Fight Crime?
How to Reduce Recidivism and Improve Public Safety, Part II: Let Prisoners Earn While They Learn
Behind the Research: Letting Suspects Go as a Crime-Fighting Tactic
Imagining a Post-Pandemic Future, Part III: Why We Need Criminal Justice Reform
6. Boost Geographic Mobility
7. Support Economic Vitality and Growth
How Would The Spirit of Innovation Be Kept Alive under Democratic Socialism?
Is Capitalism As Bad As They Say It Is? Part III: Cost of Living
Is Capitalism As Bad As They Say It Is? Part I: Introduction
8. Pursue Sound Tax Policy
How the Most Progressive Countries Fund Their Welfare States, Part II: Just About Everyone Helps Out
Comparison of US and Nordic Tax Systems in Two Charts and Two Tables
9. Eliminate Chronic Poverty
10. Practice Good Governance
How Bad Government and Economic Systems Undermine Personal Initiative and the Pursuit of Happiness
The Bold Centrist: A Responsible Budget for Fixing This Country
A Tale of Governance and Politics: Homelessness Trends in Texas and California
The Bold Centrist, Part III: What Does It Mean to Govern Responsibly?
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* This list addresses direct and indirect challenges to social mobility. For instance, physical well-being and residential stability are conducive to learning, skill development and staying employed. Plus, sound tax policy and good governance are necessary for financing, developing and maintaining effective safety net programs.
Recommended Reading
Chetty, R. and Hendren, N. The Impacts of Neighborhoods on Intergenerational Mobility II: County-Level Estimates, The Quarterly Journal of Economics, Volume 133, Issue 3, August 2018, Pages 1163–1228, https://doi.org/10.1093/qje/qjy006
Debove S, Baumard N, André J-B (2017) On the evolutionary origins of equity. PLoS ONE 12(3): e0173636. https://doi.org/10.1371/journal.pone.0173636
Manduca, R. and R. J. Sampson (2019). "Punishing and toxic neighborhood environments independently predict the intergenerational social mobility of black and white children." Proceedings of the National Academy of Sciences 116(16): 7772-7777. https://doi.org/10.1073/pnas.1820464116
Protzer, Eric S. M. “Social Mobility Explains Populism, Not Inequality or Culture.” CID Research Fellow and Graduate Student Working Paper Series 2021.118, Harvard University, Cambridge, MA, September 2019. Revised May 2021 https://nrs.harvard.edu/URN-3:HUL.INSTREPOS:37366842
Starmans, C., Sheskin, M. & Bloom, P. Why people prefer unequal societies. Nat Hum Behav 1, 0082 (2017). https://doi.org/10.1038/s41562-017-0082