Skip to main content

State PACEs Action

K-Shaped “Recovery” Widens Gulf between Haves and Have-Nots (nonprofitquarterly.org)

 

Back in May, we ran an article in NPQ that noted that “discussion has abounded as to whether the economic recovery might take the shape of a V (quick recovery), U (long recession), L (very long recession or depression), or W (double-dip recession).”

Now, five months later, it appears that the economic “recovery”—such as it is—matches none of these letters. Instead, reports Heather Long in the Washington Post, economists have started to label our economic path a “K-shaped” recovery, so called because of the “diverging prospects for the rich and poor.” The upward sloping part of the “K” represents improving fortunes for the well-to-do; the downward sloping part represents the fortunes of near everyone else.

In other words, the United States, which already had one of the most unequal economies among the world’s wealthiest countries, is now becoming considerably more unequal. And, appropriately enough, K Street lobbyists are a good part of the reason. As Long puts it, “policy failures in Washington are exacerbating the problems.”

Other disparities Long documents include the following:

Black men and women have recovered about 20 percent of the jobs they lost in the pandemic versus almost 40 percent for White men and 45 percent for White women

[…]

The slow job rebound is leaving many families [of color] fearful of eviction. Nearly half of [Latinx] renters and 42 percent of Black renters said they had “no confidence” or only “slight confidence” they could pay their August rent, according to a Census Bureau survey conducted July 16–21. On the social media site Reddit, unemployed Americans are posting harrowing accounts of their electricity being shut off, not being able to afford medication, and being days from eviction.

To read more of Steve Dubbs' article, please click here.


Add Comment

Comments (0)

Copyright © 2023, PACEsConnection. All rights reserved.
×
×
×
×
Link copied to your clipboard.
×