Two new studies by the Pew Research Center show that America’s wealth gap has reached record levels. In one study, Pew Research found that the median wealth of our country’s upper-income households was nearly seven times the median wealth of middle-income households in 2013—resulting in the largest wealth gap in 30 years since the Federal Reserve began collecting these data.
In another study, Pew Research found that wealth inequality by race and ethnicity has grown since the Great Recession. The analysis, also based on data from the Federal Reserve’s Survey of Consumer Finances, finds that the recovery from the Great Recession has been very selective, with the wealth of white households leveling off between 2010 and 2013 as the economy began to heal. The wealth of black and Hispanic households, however, has continued to decline. The wealth of white households in 2013 was 13 times the median wealth of black households and is now more than 10 times the wealth of Hispanic households. The level of inequality between black and white households has not been seen since 1989—which makes the current racial and ethnic wealth gap at the highest level in 30 years since the data have been available.