Inequality isn't rising after all?

[Kidlicious]

Originally posted by ramseya
Well I suppose the research is predicated on the assumption that the poor would never have used the services as much as the rich anyway. With that assumption held, the simple fact that inflation rates are different between services and goods and between certain goods and other goods means that the rich man's dollar buys technically more but relatively less of the same basket of goods and services as it did 30 years ago while the poor man can buy both absolutely more and relatively more than he could 30 years ago.

That would basically mean that there isn't a greater disparity in inflation-adjusted purchasing power than the disparity of 30 years ago.

You simply should not consider that different income groups have different inflation rates. You really only have to purchase goods and services that you absolutely need. If you don't need them you can always just save your money. If the rich saved their money you wouldn't say that inequality were less, would you?

[Vanguard]

Yeah, the idea of different inflation rates for different economic strata is useless.