This chart, from a study [PDF] referenced by Tim Noah's writing on inequality, has garnered attention for demonstrating people's incorrect assumptions about wealth distribution in the U.S. It shows both how we underestimate what the top 20 percent actually own and how we overestimate how poor the folks are at the opposite end of the spectrum. Some folks see potential for political action in this -- once people realize economic reality, they'll want different policies.
I'm less sanguine. What interests me is how similar the estimates are across different demographic groups. Both the poor and the wealthy believe the top 20 percent control about 60 percent of wealth, as do both Democratic and Republican voters. If Americans already believe the top 20 percent of the country controls the vast majority of wealth, we already believe we're dramatically unequal. And we just don't care.
-- Tim Fernholz
