Economic Research: How Increasing Income Inequality Is Dampening U.S. Economic Growth

Economic Research: How Increasing Income Inequality Is Dampening U.S. Economic Growth The passage restates widely‑published academic findings on income inequality, consumption patterns, and post‑recession growth. It cites well‑known economists and institutions but provides no new evidence, specific transactions, or allegations involving high‑ranking officials that could be pursued as an investigative lead. Key insights: High‑income households have a lower marginal propensity to consume than low‑income households.; Low‑income ZIP codes saw borrowing growth double that of affluent ZIP codes between 2002‑2005.; Subprime ZIP codes experienced default rates three times higher than prime ZIP codes after 2006.