Republican problem: Americans feel good about the economy

Republicans can win only by going negative on America in general and the economy in particular. They’re wrong.

In fact, there is now a smaller gap between the views of the highest and lowest income terciles than there was under the previous presidents. What is distinctive about the Obama years — especially compared with the Reagan years — is how small the gap is between income groups. The average gap between upper- and lower-income groups from 1981-88 was 21.3 points. From 2009-2015, it was 13.4 points. This most recent gap is also lower than during the administrations of George H.W. Bush (14.7), Bill Clinton (16.7) and George W. Bush (18.4).

These upward trends among lower-income people are all the more striking because, as of 2014, their income had not recovered as much from the Great Recession as had the incomes of the relatively wealthy. One explanation for this involves the frame of reference in the Index of Consumer Sentiment, combined with the most recent trends in family incomes. The index asks respondents to evaluate their financial situation compared with a year ago. And as of 2014, the trend in incomes in the previous year was positive for almost every income group. Even if family incomes had not fully recovered from the recession, they were recovering nonetheless.

By: Alan

Alan Colmes is the publisher of Liberaland.