The Factors Decreasing Economic Mobility
The Factors Decreasing Economic Mobility
ECON 303: Economics of Poverty and Discrimination
California Polytechnic State University
November 30, 2011
Abstract
The purpose of this paper is to examine the different causes that have been attributed to the decrease in economic mobility in America and how they have impacted a person’s ability to move up the socioeconomic ladder. The primary causes that will be discussed include: unequal education opportunities, globalization and technology. Important questions will be explored, such as whether an individual 's economic success and upward mobility is dependent on the socioeconomic status of his or her family and how globalization, particularly off-shoring, and technology has affected the job standings of middle class Americans.
The decline of economic mobility in America is directly associated with diminished opportunity. Americans on the low to middle levels of the socioeconomic spectrum have become greatly disadvantaged due to unequal educational opportunities, the globalization of labor and production, and the emergence of new technologies.
For generations, the cycle of poverty has secured the immobility of the poor. The gap between the rich and the poor has been widening ever since the 1970 's and consequently, the poor have encountered decreasing economic mobility (Wessel, 2005). As a result of the widening income gap, the economic concentration of the poor has increased exponentially in relation to their limited access to educational and financial opportunities. As much as America prides itself on this part of "The American Dream," it appears to be a faint possibility. Aside from one 's work ethic and motivation, there are many other factors that affect one 's ability to successfully move up the economic ladder. In addition to education, globalization and technology, other factors of mobility also include the historic economic standing of one 's family, the economy, and government policies.
ECON 303: Economics of Poverty and Discrimination
California Polytechnic State University
November 30, 2011
Abstract
The purpose of this paper is to examine the different causes that have been attributed to the decrease in economic mobility in America and how they have impacted a person’s ability to move up the socioeconomic ladder. The primary causes that will be discussed include: unequal education opportunities, globalization and technology. Important questions will be explored, such as whether an individual 's economic success and upward mobility is dependent on the socioeconomic status of his or her family and how globalization, particularly off-shoring, and technology has affected the job standings of middle class Americans.
The decline of economic mobility in America is directly associated with diminished opportunity. Americans on the low to middle levels of the socioeconomic spectrum have become greatly disadvantaged due to unequal educational opportunities, the globalization of labor and production, and the emergence of new technologies.
For generations, the cycle of poverty has secured the immobility of the poor. The gap between the rich and the poor has been widening ever since the 1970 's and consequently, the poor have encountered decreasing economic mobility (Wessel, 2005). As a result of the widening income gap, the economic concentration of the poor has increased exponentially in relation to their limited access to educational and financial opportunities. As much as America prides itself on this part of "The American Dream," it appears to be a faint possibility. Aside from one 's work ethic and motivation, there are many other factors that affect one 's ability to successfully move up the economic ladder. In addition to education, globalization and technology, other factors of mobility also include the historic economic standing of one 's family, the economy, and government policies.
References: Bernstein, A. (2003). Commentary: waking up from the American dream: dead-end jobs and the high cost of college could be choking off upward mobility. Business Week. Blinder, A. (2009). How Many U.S. Jobs Might Be Offshorable? World Economics. Sawhill, I. (2007). Economic Mobility: Is the American Dream Alive and Well? Economic Mobility Project. Wessel, D. (2005). As Rich-Poor Gap Widens in the U.S., Class Mobility Stalls. Wall Street Journal. Zakaria, F. (2010). How to Restore the American Dream. TIME.