Experts: This is THE MOST unequal recession in American history
Look at the economic collapse resulting from the Corona virus Pandemic shows what has become the most unequal recession in American history Economics reporter had the long takes a closer look for the Washington Post and talked with comas. Bill O'Neill. The recession's typically hits some harder than others. We know that but the difference is in this one are pretty stark. It was God smacking when we ran the numbers. Ah, low wage workers. So we're talking about people earning $13 or last were lost their jobs that eight times the amount of higher wage workers. And here we are. Seven months into this recovery and low wage workers are basically still in a depression like state with huge job losses. Meanwhile, spokes in the top 25% of the income distribution. So a lot of white collar workers they basically fully recovered. Now, why are certain groups recovering more slowly than others here? It's really the nature of the Corona virus, and we can all see it is be drive around our town. This is just so decimated the service sector generally a low pain jobs that Aaron Hotels Hospitality and restaurants, and many of us can name those types of industries. Not to mention a lot of people who are paid in cash, Maybe clean homes or take care of our baby said or nanny. Those types of jobs and those jobs are overwhelmingly held by black women, for instance. Blackmon and people without college degrees. Now the federal government, of course, was quick to step in and help out when the pandemic began lately. Not so much has there been any kind of talk of assistance for these groups in particular. Well, everyone is watching the White House and Congress with bated breath and the latest tweet. The latest information coming out is they still don't have a deal on some sort of further stimulus bill And that worries me a lot in this story. We we did a huge amount of data analysis. To show that this is the most unequal recession in modern history, more so than the great recession we all suffered through, but we also talked to a lot of unemployed workers. And I just think about talking Teo, a single mom that Tasha Smith, who used to work in a casino in Louisiana, that casino Eyes, not just shut down. They've decided they will never reopen. Her job is totally gone, and I asked her. You know what's in your refrigerator, and she opens her refrigerator. And she said, I've got a pack of wings and a pack of size And that's you know, obviously, the impacts of a recession on any particular group can drag the economy down as a whole. Even if your group has recovered. How much of this? Does this impact our overall recovery? When we look at it that way? Obviously we're a consumer driven economy, So not only are these people live Being decimated. We have people falling from the middle class into poverty, like Natasha Smith were just speaking about. But this hurts the recovery in the sense and the overall economy because obviously these people do not. Have money to go out and spend. They don't even have enough money to go out and buy food or pay rent. A lot of people we talked to our unemployed are no longer pain ran. Several of them are no longer paying their car payment. One of them was behind on their electric bills. And no wonder those landlords going to do what are those car companies going to do? It starts to impact the whole economic change. That's Heather Long read more online at washingtonpost dot com.