Friday, February 05, 2016

Wealth Feedback Patterns

In ecology -- and in systems theory generally -- we speak of feedback processes, which are responses within systems whereby outputs can affect inputs. They are of two basic kinds: positive and negative.

Positive feedback processes increase changes because the output "feeds back" to input in a way that causes more of the same kind of output. A common example is audio feedback, in which a microphone sends the amplified sound being output from the system speaker back through the amplifier, turning a small signal into a bigger one. Positive feedback processes help to accelerate changes.

Negative feedback is a process that tend to reverse changes. Perspiration is an example, since elevated body temperature leads to the transfer of moisture to the skin where it can evaporate and lower the temperature. Negative feedback processes help systems to tend toward stasis.

I often talk about these concepts in the context of climate change, since the warming signal triggers dozens of responses that feedback in either positive or negative ways, as defined above.

But the principles apply to all kinds of things, such as the economy and wealth distribution. Progressive tax schemes, for example, would be negative feedback mechanisms that slow changes in wealth distribution. To the extent that taxation causes the "rich to get poorer" or the "poor to get richer," negative feedback is at play.

But neither of those phrases sounds familiar, in part because we find so many mechanisms by which "the rich get richer" and "the poor get poorer." If that sounds a bit more familiar, it may be because so many processes work to reinforce changes in income. Earn a bit more money, and you might have a more reliable car, allowing you to earn more money. Suffer a financial loss from an unexpected car repair, and you might not have the money for gas to get to work. And so on.

As with climate change, the real world is complicated, and we all experience a lot of both kinds of feedback. Yet a Horatio Alger myth persists, suggesting not only that we can overcome poverty, but also that if we do not, it is our own fault. False hope ends up prevailing over solidarity, so that poor and middle-class folks often support policies that would only help them in the real world if they were actually rich.

All of which is by way of setting the context for an interesting set of studies that documents the degree to which one's wealth status is persistent across generation in the United States. The studies compare various measures of wealth and employment among adults with the economic status of their parents, and provides some insights into the reasons (feedback mechanisms) that tend to limit mobility.
Example: Earnings ranked by parental income
Note: Though it is not the focus of this research, the gender pay gap appears in all of the graphs cited
Exceptions abound, of course, but exceptions should not frame our policy choices. Sadly, they do.

No comments:

Post a Comment

Thanks for your comment and your interest in my blog. I will approve your comment as soon as possible. I had to activate comment moderation because of commercial spam; I welcome debate of any ideas I present, but this will not be a platform for dubious commercial messages.

Blog Ideas

coffee (19) geography (16) climate change (13) musica (9) Texas (8) education (8) Brazil (7) Mexico (7) migration (7) Massachusetts (6) US-Mexico (6) borderlands (6) deBlij04 (6) cultural geography (5) fair trade (5) food (5) geographic education (5) immigration (5) nicaragua (5) Arizona (4) climate justice (4) deBlij05 (4) music (4) politics (4) water (4) Bolivia (3) Boston (3) GEOG332 (3) GEOG381 (3) Managua (3) Obama (3) Safina (3) border (3) cartography (3) drought (3) libraries (3) pesticides (3) trade (3) unemployment (3) Alaska (2) Amazon (2) Bridgewater (2) Canada (2) Chiapas (2) China (2) EarthView (2) Economy (2) Environment (2) GEOG130 (2) Google Maps (2) Government (2) Hawaii (2) India (2) Lexington (2) Maldives (2) NPR (2) National Monuments (2) National Parks (2) Religion (2) Rio Grande (2) Taunton River Wild and Scenic (2) Tex-Mex (2) The View from Lazy Point (2) United States (2) Venezuela (2) africa (2) censorship (2) central america (2) chocolate (2) deBlij07 (2) deforestation (2) education reform (2) employment (2) environmental geography (2) film (2) global warming (2) islands (2) land protection (2) librarians (2) maps (2) organic (2) peak oil (2) refugees (2) sense of place (2) soccer (2) suburban sprawl (2) television (2) water rights (2) whales (2) ACROSS Lexington (1) Accents (1) Adam at Home (1) Alice (1) Alt.Latina (1) American Hustle (1) April (1) Association of american Geographers (1) Audubon (1) Aunt Hatch's Lane (1) BSU (1) Baby Boomers (1) Banda Aceh (1) Bay Circuit Trial (1) Bechtel (1) Beleza Tropical (1) Belize (1) Beloit College (1) Ben Linder Cafe (1) Bet The Farm (1) Bhopal (1) Bikeway (1) Bill Gates (1) Bill Moyers (1) Boeing 777 (1) Brazilian (1) Brazilianization (1) Bridge (1) British Columbia (1) Bus Fare (1) Bush (1) California (1) Cambridge (1) Cape Cod Bay (1) Carl Stafina (1) Catholic (1) Ceuta (1) Chalice (1) Chipko (1) Citgo (1) Climate risks (1) Cochabamba (1) Colonialism (1) Common Core (1) Commuter (1) Computers (1) Cuba (1) Cups and Summits (1) Dallas (1) David Byrne (1) Delaware Valley (1) Dunkin Donuts (1) EPA (1) Earth Day (1) Earth View (1) Easton (1) Elizabeth Warren (1) Emilia Laime (1) English-only (1) Environmental History (1) Ethiopia (1) Euphrates (1) European Union (1) Evo Morales (1) FIFA (1) Fades Out (1) Farms (1) Food Trade (1) Frederick Kaufman (1) French press (1) Fresh Pond Mall (1) GEOG 332 (1) GEOG 441 (1) Garden of Gethsemane (1) Gas wells (1) General Motors (1) Gini Coefficient (1) Girl in the Cafe (1) Google (1) Gordon Hempton (1) Gravina Island Bridge (1) Great Molasses Flood (1) Guy Lombardo (1) Hawks (1) Heart (1) Higher Education (1) History (1) Holyhok Lewisville (1) Homogenous (1) How Food Stopped Being Food (1) Hugo Chavez (1) IMF (1) Iditarod (1) Imperial Valley (1) Income Inequality (1) Indonesia (1) Iraq (1) Irish (1) Japan (1) Junot Diaz (1) Ketchikan (1) Key West (1) Kindergarden Students (1) King Corn (1) Kiribati (1) Latin America (1) Limbaugh (1) Love Canal (1) Luddite (1) M*A*S*H (1) MCAS (1) MacArthur Genius (1) Maersk (1) Malaysia (1) Malaysian Air Flight 370 (1) Manu Chao (1) Map (1) Marblehead (1) Mary Robinson Foundation (1) Maryland (1) Massachusetts Bay Colony (1) Math (1) Maxguide (1) May (1) Maya (1) Mayan (1) Mayan Gold (1) Mbala (1) McDonald's (1) Melilla (1) Mexicans (1) Michael Pollan (1) Michelle Obama (1) Micronesia (1) Military (1) Military Dictatorship (1) Minuteman Trail (1) Mongolia (1) Monsanto (1) Montana (1) Morocco (1) Mount Auburn Cemetery (1) Mozambique (1) Muslim (1) Nantucket (1) National Education Regime (1) Native Americans (1) New Bedford (1) New Hampshire (1) New York City (1) New York Times (1) No Child Left Behind Act (1) Norquist (1) North Africa (1) Nuts (1) Oaxaca (1) Occupeligo (1) Occypy (1) Oklahoma City (1) Oppression (1) PARCC (1) Pakistan (1) Pascal's Wager (1) Peanut (1) Pearson Regime (1) Philadelphia (1) Philippines (1) Pink Unicorns (1) Poland (1) Portuguese (1) Protest (1) Public Education (1) Puebla (1) Puritans (1) Quest University (1) Rachel Carson (1) Reading (1) Republican (1) Retro Report (1) Robert Reich (1) Rock Legend (1) Ronald Reagan (1) Rondonia (1) SEXCoffee (1) Safety (1) Samoza (1) Sandino (1) Sara Vowell (1) Save the Children (1) Scotch (1) Scotland (1) Seinfeld (1) Senegal (1) Sergio Mendes (1) Severin (1) Sharrod (1) Silent Spring (1) Sinatra (1) Slope (1) Somalia (1) Sombra (1) Sonora (1) Sonoran desert (1) Sonoran hot dog (1) South America (1) Spain (1) Stairway to Heaven (1) Storm (1) Suare Inch of Silence (1) Sumatra (1) Swamp (1) Tacloban (1) The Amazon (1) The Amazon Trail (1) Tigris (1) Tucson (1) Tufts (1) U.S Federal Reserve (1) U.S Government (1) U.S. economy (1) USDA (1) USLE Formula (1) Uganda (1) Unfamiliar Fishes (1) Union Carbide (1) Vacation (1) Vexillology (1) Vietnam (1) ViralNova (1) WNYC Data News (1) Wall Street (1) Walsenburg (1) Walt Disney (1) Walt and El Grupo (1) Ward's Berry Farm (1) West (1) Whaling (1) Winter Storm Saturn (1) Wisconsin (1) World Bank (1) Xingu (1) YouTube (1) agriculture (1) anthropocene (1) antitrust (1) aspen (1) aviation (1) banned books (1) bark beetle (1) bean (1) bicycle (1) bicycling (1) bike sharing (1) binary (1) biodiversity (1) bioneers (1) books (1) boston globe (1) cacao (1) cafe (1) campaign (1) campus (1) cantonville (1) cape verde (1) capitals (1) carbon dioxide (1) carbon offsets (1) carioca (1) cash (1) cashews (1) census (1) chemex (1) chemistry (1) chronology (1) churrasco (1) coffee grounds (1) coffee hell (1) coffee prices (1) college (1) compost (1) computerized test (1) congress (1) conservation commission (1) corn (1) corporations (1) countries (1) cubicle (1) deBlij06 (1) deBlij08 (1) death (1) deficit (1) dictatorship (1) distracted learning (1) distraction (1) drug war (1) earth (1) economic diversification (1) economic geography (1) election (1) embargo (1) energy (1) enhanced greenhouse effect (1) environmentalist (1) ethnomusicology (1) exremism (1) failed states (1) farming (1) financial crisis (1) football (1) forestry (1) forro (1) fracking (1) free market (1) free trade (1) fuel economy (1) garden (1) genocide (1) geography education (1) geography games (1) geography of chocolate (1) geography of food (1) geologic time (1) geotechnology (1) gerrymandering (1) global pizza (1) globe (1) green chemistry (1) guatemala (1) high-frutcose (1) home values (1) hospitality (1) housing (1) illegal aliens (1) income (1) interfaith (1) journalism (1) kitchen garden (1) labor (1) language (1) libertarianism (1) library (1) lingusitics (1) little rock (1) llorona; musica (1) maple syrup (1) mapping (1) medical (1) mental maps (1) microstates (1) mining (1) monopoly (1) municipal government (1) nautical (1) neoclassical economics (1) new england (1) newseum (1) newspapers (1) noise pollution (1) pandas (1) petroleum (1) piracy (1) pirates (1) poison ivy (1) police (1) political geography (1) provincial government (1) proxy variables (1) public diplomacy (1) rabbi (1) racism (1) real food cafe (1) remittances (1) resistance (1) respect (1) rigoberta menchu (1) rios montt (1) romance (1) roya (1) runways (1) russia (1) satellites (1) science (1) sea level (1) selva negra (1) sertao (1) sertão (1) sex (1) sex and coffee (1) simple (1) sin (1) solar (1) solar roasting (1) south africa (1) sovereignty (1) species loss (1) sporcle (1) sports (1) state government (1) sustainability (1) taxes (1) tea party (1) teaching (1) textile (1) texting (1) training (1) transect; Mercator (1) travel (1) triple-deckers (1) tsunami (1) utopia (1) vermont (1) vice (1) video (1) wall (1) water resources (1) water vapor (1) whiskey (1) whisky (1) widget (1) wifi (1) wild fire (1) wildlife corridor (1) wto (1)