"The author, Benjamin M. Friedman, argues that inequality, combined with only modest growth, can have grave moral consequences. History suggests that, in the past, a rising standard of living has promoted tolerance for others, commitment to economic opportunity, and democracy. But stagnating incomes due to inequality can lead to the opposite outcomes. The nation’s response to immigration is a good example, says the author."
THE CRISIS TRIGGERED BY THE COLLAPSE OF SUBPRIME MORTGAGE LENDING in the United States has already resulted in the worst financial turmoil since the 1930s. The U.S. economy is now in recession, and the public is anxiously watching to see just how badly, and for how long, these events in the financial markets will depress non-financial economic activity.
This piece was written before the 45* phenomenon occurred; now, how will he impact all economic activity?