Undefined

Math is often a straightforward discipline.  Even in a contentious period like today, everyone tends to agree on what the sum of 1 + 1 equals. Right?  But even this rigorous subject gets caught up in controversy.  Take zero to the power of zero (00) for instance.  At first glance, the expression appears simple.  Yet mathematicians won’t upgrade it to an equation because they can’t settle what goes on the other side of the equal sign: zero or one.

Generally speaking, capitalism does not produce many equal signs.  Throughout history, outcomes for individuals and families fall into a broad continuum, spanning from the food insecure or worse to space exploring billionaires.  Most of us fall somewhere in the middle.  However, a study from professors at Penn State and Cornell suggests inequality has been spreading in the past several decades.

These researchers depended on the Gini coefficient to quantify inequality; it measures statistical dispersion for income and wealth calibrated so 0.0 represents equality among all and 1.0 expresses maximum inequality.  Using 1970 as a baseline, they compared urban inequality to that of rural communities.  From the outset, rural levels of inequality were 10.2 percent higher than urban areas.  Since then, a shift has occurred.  In 2016, it was just 0.5 percent higher.  Unfortunately, the gap closure was due to inequality rising faster in more densely populated areas; although it rose it both settings.  Now, many economists believe the pandemic is serving as a catalyst to exacerbate inequality in America.

It's premature to conclude inequality increased as a direct result of the pandemic, but rest assured studies are underway. Congress and the Federal Reserve each believe the other can help.  A contentious debate is sure to ensue.  In the meantime, many Americans will be trying to ensure their outlays equal their revenues in straightforward arithmetic exercises each month while those residing in ivory towers continue debates about how things ought to be.