There is a myth that America is the “land of opportunity” and for many who come to her shores from wretched circumstances there is an opportunity for a better life than the one they left behind. But what about those of us who are here and trying to improve our lots? Can we expect to make more money and have a better life than our parents? Can we look forward to improved income and circumstances if we work hard, educate ourselves, and stay out of trouble?
For more and more Americans, the answer is no.
Surveys taken among workers over the last few years indicate that the idea that hard work and playing by the rules will get you success in the end is even more firmly entrenched now than in years past. The idea of upward mobility is one that gets promoted relentlessly in the media, often to the detriment of people who are down on their luck and told implicitly or explicitly that they just need to “work harder” or “stop being lazy.” But several studies have questioned the idea that it’s possible to work your way up in the US. One such study, “Understanding Mobility in America” by Tom Hertz of American University came to some startling conclusions, although they probably wouldn’t surprise anyone who’s been paying attention:
Children from low-income families have only a 1 percent chance of reaching the top 5 percent of the income distribution, versus children of the rich who have about a 22 percent chance.
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By international standards, the United States has an unusually low level of intergenerational mobility: our parents’ income is highly predictive of our incomes as adults. Intergenerational mobility in the United States is lower than in France, Germany, Sweden, Canada, Finland, Norway and Denmark. Among high-income countries for which comparable estimates are available, only the United Kingdom had a lower rate of mobility than the United States.
The bottom line is that if you are born poor, you are almost certain to stay in that class. Of course, the fact that income inequality has reached and possibly exceeded what we had during the “Guilded Age” is both a cause and symptom of this problem. If you are seeking to improve your lot (and who isn’t?) you need to understand that the game is rigged against you. It is discouraging to be on the job hunt in an environment such as this; not only are there five job seekers for every job (and often hundreds of applicants for a single opening), assuming you get that job it may or may not help you create a better life for yourself and your family.
It demands some rethinking about what makes a good life, and how to go about getting it in a way that does not demand the assistance from Those On High. A subject for another time.
Click here for a .pdf of the full Hertz report.
