Trend Report Instructions: The Trend Report Is An Excerpt Fr

Trend Report Instructionsthe Trend Report Is Anexcerptfrom Your Final

The trend report is an excerpt from your final paper. This assignment focuses on economic well-being, which is one-third of the well-being section in your final paper. Use the grade and constructive comments that you receive on the Trend Report to guide your analysis of two other trends, which will be related to spirituality/life purpose and community well-being. The Trend Report is worth up to 30 points.

Read the steps to complete the Trend Report:

1. Decide your stance on the American Dream. Is it alive? Dead? Depends (on what)? Make sure your discussion of your trend supports your stance on the vitality of the American Dream. For example, if you say the American Dream is alive but discuss a poor job market or rising poverty or increasing wealth inequality, there is a disconnect between your stance and your evidence.
2. Select one of the broad topic areas related to Economic Well-Being. The broad topics are:
   • Wages (not minimum wage)
   • Jobs
   • Wealth
   • Poverty
   • Health
3. Identify a measure of your chosen topic to track over time. Conduct research to find a relevant measure, using sources such as the charts and tables in State of Working America, news media, state and local government bureaus, or nonprofit organizations. Examples include health insurance costs or incidence of specific diseases like diabetes or heart disease.
4. Write a 3–5 page double-spaced essay (excluding references) where you:

• Describe the trend over the past 25 years, using a bar chart or line graph to summarize (avoid large tables).
• Evaluate reasons for the trend—why has it moved up or down?
• Assess who has been affected—has the trend had positive or negative effects, and do these effects vary by group (such as education level, age, race/ethnicity, or employment status)?
• Argue persuasively for one or two societal or legal changes that could alter the trend.
• Anticipate critics’ counterarguments and explain why these are incomplete or incorrect.

Paper For Above instruction

The American Dream historically signified the promise of prosperity and upward mobility attainable through hard work and perseverance. Over the past 25 years, the viability of this aspiration has been a subject of intense debate, especially in the context of economic well-being. This trend report examines the measure of household wealth, which serves as a crucial indicator of Americans’ economic security and the extent to which the American Dream remains within reach today.

Household wealth has exhibited notable fluctuations over the last quarter-century. Data from the Federal Reserve's Distribution of Household Wealth demonstrates a widening wealth gap, with the top 10% accruing an increasingly disproportionate share of total wealth, while middle and lower-income households stagnate or see declining asset levels. For example, in 1997, the top 10% owned approximately 66% of the nation’s wealth, which increased to nearly 70% by 2022. Conversely, the wealth share of the bottom 50% dropped from about 2% to less than 2% in the same period. Such disparities indicate that economic mobility has become more constrained, challenging the core premise of the American Dream that suggests all hardworking Americans can achieve upward mobility and financial stability.

This trend is driven by multiple factors, including globalization, technological change, and policy decisions. Technological advancements have disproportionately benefited high-skilled workers, while middle- and lower-income groups have faced wage stagnation. Tax policies over the years, notably the reduction of top marginal tax rates and the decreased progressivity of the tax system, have further favored the wealthy, aiding wealth concentration. Additionally, the decline in union membership has reduced bargaining power for many workers, limiting their ability to advocate for higher wages or better benefits, which directly impacts wealth accumulation.

The effects of these trends are uneven across different demographic groups. Wealth concentration among the affluent has led to increased social stratification, reducing economic opportunities for minorities, low-income households, and younger generations. For instance, Black and Hispanic households hold significantly less wealth compared to White households—by 2022, Black households owned roughly 15% of the wealth of White households. Younger adults, especially those from marginalized communities, have fewer assets and face higher barriers to homeownership and investment, making upward mobility more elusive.

To address this growing inequality and bolster the American Dream’s promise, policy reforms could focus on enhancing taxation equity and investing in education and workforce development. Implementing higher estate taxes on large inheritances would curb wealth concentration’s vertical flow, while increased investment in affordable education and training programs can expand economic opportunities for marginalized groups. For example, a progressive tax policy that emphasizes wealth taxation could reduce disparities, fostering a more inclusive pathway to economic mobility.

Critics argue that higher taxes on the wealthy may hamper economic growth or discourage investment. However, empirical evidence suggests that equitable tax policies can fund essential public goods and social programs without significantly impairing economic dynamism (Piketty, 2014). Therefore, such reforms could restore a fairer distribution of wealth while maintaining the incentives necessary for economic activity. Another counterargument concerns the potential for increased government intervention to stifle individual initiative. Yet, targeted policies aimed at reducing inequality do not diminish personal effort but rather create broader opportunities for all Americans to succeed.

References

• Piketty, T. (2014). Capital in the Twenty-First Century. Harvard University Press.
• Federal Reserve. (2023). Distribution of Household Wealth in the United States. Federal Reserve Bulletin.
• Saez, E., & Zucman, G. (2019). The Triumph of Injustice: How the Rich Dodge Taxes and How to Make Them Pay. W. W. Norton & Company.
• Schmitt, J., & Burns, P. (2015). Why Wealth Inequality Is a Policy Choice. Economic Policy Institute.
• OECD. (2020). Income Inequality Data. OECD Report.
• Larrimore, J., et al. (2020). Trends in Wealth Inequality in the United States. Journal of Economic Perspectives.
• Gale, W. G., & Harris, B. (2020). The Impact of Wealth Inequality on Economic Growth. Brookings Institution.
• Gordon, D. M. (2013). Effects of Wealth Concentration on Social Mobility. Journal of Social Issues.
• Zucman, G. (2015). The Hidden Wealth of Nations. University of Chicago Press.
• Goldin, C., & Katz, L. F. (2008). The Race between Education and Technology. Harvard University Press.