Research Paper

Good and Bad News About Income Inequality in Urban America

December 18, 2023

Authors John Landis

Current Themes

The text "Good and Bad News About Income Inequality in Urban America" on a red background

Download PDF

Overview

This paper by John Landis, Professor Emeritus of City Planning at the Weitzman School of Design, examines income inequality in the United States, particularly at the urban level. While the U.S. is known for its economic opportunities, it also leads among the wealthiest nations in terms of income inequality. The paper explores the nuanced picture of income inequality across the 74 largest urban counties in the United States from 2000 to 2020. The study employs two measures of inequality: nominal income inequality and spatial income inequality. It reveals a trend of increasing nominal inequality alongside a decline in spatial inequality, offering a complex perspective on economic disparities in urban areas.

Key Message

The findings present a mixed outlook: nominal income inequality has increased, particularly in counties with more productive economies, while spatial income inequality has generally decreased. However, the relationship between these changes and factors such as residential segregation and racialized economic disparities remains tenuous. This highlights the limited utility of income inequality measures in formulating anti-poverty policies and emphasizes the need for a more nuanced understanding of local economic dynamics.