Report: R.I. 28th in nation for income inequality

THE ECONOMIC POLICY INSTITUTE studied income inequality in all 50 states, as well as 916 metropolitan areas and all U.S. counties in its third annual report. Rhode Island ranked 28th among the states for income inequality. / COURTESY ECONOMIC POLICY INSTITUTE
THE ECONOMIC POLICY INSTITUTE studied income inequality in all 50 states, as well as 916 metropolitan areas and all U.S. counties in its third annual report. Rhode Island ranked 28th among the states for income inequality. / COURTESY ECONOMIC POLICY INSTITUTE

PROVIDENCE – When it comes to income inequality, Rhode Island ranks 28th among the 50 states, according to a report from the Economic Policy Institute, which said income inequality has risen in every state since the 1970s.
The top 1 percent wage earners in Rhode Island make an average of $884,609, 18.6 times more than $47,545, the average income of the bottom 99 percent.
The report, from Estelle Sommeiller, Mark Price and Ellis Wazeter, is the third annual such analysis. It showed that the top 1 percent takes home 15.6 percent of all the income in Rhode Island.
The report also showed that the Providence-Warwick-Fall River metropolitan area is the most unequal metro area in Rhode Island, and the top 1 percent there makes nearly 17 times more than the bottom 99 percent.
Average income of the top 1 percent in Providence-Warwick is $787,197, while the average income of the bottom 99 percent is $46,645. The Providence-Warwick metro ranked 333rd in the nation for income inequality out of 916 metro areas.
Bristol County also is the most unequal county in Rhode Island, with the top 1 percent there making nearly 29 times more than the bottom 99 percent. Average income of the top 1 percent in Bristol County is $1,900,048 compared with the average income of the bottom 99 percent at $65,810.
The most unequal states are New York and Connecticut, according to the report.
In 2013 the top 1 percent of families nationally made 25.3 times as much as the bottom 99 percent, according to the report.
To make it into the top 1 percent nationwide, one would need an average income of at least $389,436. Twelve states, 109 metro areas and 339 counties have thresholds above that level.

“The degree of income inequality differs from one city to another, but the underlying forces are clear. Inequality isn’t a regional issue. It’s the result of intentional policy decisions to shift bargaining power away from working people and towards the top 1 percent,” Sommeiller said in a statement. “To reverse this, we should enact policies that boost worker’s ability to bargain for higher wages, rein in the salaries of CEOs and the financial sector, and prioritize full employment.”

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