Friday, September 15, 2006

2868 How to lie with statistics, charts and quintiles

David R. Henderson at TCS Daily has an interesting thought. Read the Census Report on income, poverty and health 2006 before deciding that the gap between rich and poor is widening. It's important to note, he says, that income is not wealth (ask any retired baby-boomer). To me this is always the most glaring failing when liberals try to cram horror stories about the economy down our throats at election time. The oldest boomers are now 60; many have retired. Hello! What happens to income when you retire? It either stops, or is reduced drastically. Does that make you poor? Not if you have a home, pension and investments.

I'm guilty. I haven't read the report. But here's what I know for a fact going in.

  • Married people are wealthier than unmarried;
  • children of divorce are poorer than children of in tact families;
  • divorced and unmarried fathers are less likely to provide a college education for their children than fathers married to the children's mother;
  • people who work have more money than people who don't work;
  • government programs often encourage people not to work, or at least reward them for working less, so they have the unintended consequence of creating a poor class;
  • people in the bottom quintile usually don't stay there because their age, education or marital status changes;
  • inexpensive leisure activities and entertainment lull people into not doing their best but create great wealth for a small number;
  • millions of destitute people sneak into our country every year and are added to the poverty rolls;
  • marijuana and alcohol keep a lot of people poor and dysfunctional while making a small number rich;
  • for 30+ years schools have encouraged students to seek non-monetary satisfactions and rewards in life and liberals shouldn't complain if it is working.
Women (of certain types and political thought) have been leading the charge that keep families poor for over 30 years. Wake up and smell the coffee, ladies.



1 comment:

ljmcinnis said...

I am constantly amazed at reports stating the obvious and I don't think you need to be an economist to figure it out. So much of it seems to be common sense to me.
By the way, great picture Norma.
I always enjoy visiting. Thanks.