According to Restrepo-Echavarria and her peers at the St. Louis Fed, this economically-driven shift in marriage preferences accounts for approximately half of the increase in household income inequality between 1980 and 2020 — a figure so profound it almost seems unbelievable. “This is a huge thing,” says Restrepo-Echavarria. “If inequality is... See more

One thing happening in the background here is that marriage rates are declining most among low-income and low-education groups. That means the marriages that do happen are more likely to involve higher-education, higher-income couples who have always had a lower divorce rate.

Truly astonishing indictment of our welfare policies fr @AtlantaFed. A single mother in DC can make no gains, financially, as her earnings rise from $11,000 to $65,000 because benefits like food stamps & Medicaid phase in/out as her income rises. Terrible for... See more