Abstract

The author presents results of research comparing various measures of black and white family income inequality and poverty for the periods 1969–1980 and 1981–1992. The study analyzed main effects for each decade as well as race and interaction effects on several family-income dispersion and poverty measures, including the Gini index and income–poverty ratio. The findings call into question the legitimacy of policies incorporated into the Omnibus Budget Reconciliation Act of 1981 and subsequent legislation through the Clinton administration. Economic and social welfare policy options are discussed in light of the findings.

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