Divided: The Perils of Our Growing Inequality edited by David Cay Johnston
“Divided” is a very solid collection of essays regarding the growing inequality in our society. The essays come from a wide range of influential sources that include the likes of President Obama, economists, lawyers, journalists, educators and politicians. Pulitzer Prize-winning author David Cay Johnston put together this fine collection that ranges from the rare ordinary to some real standouts. This stimulating 352-page book includes a total of thirty-nine essays broken out by the following seven main topics: 1. Overview, 2. Income Inequality, 3. Education, 4. Health Care Inequality, 5. Debt and Poverty, 6. Policy, and 7. Family.
Positives:
1. A well-written, accessible book.
2. A good collection of essays that cover many aspects of the growing inequality in our society. Can be read in any order.
3. The book is well structured. The essays are broken out by inequality occurring by theme.
4. The book succeeds in covering the most important point sought out by Johnston, “The single most important point of Divided is: keep in mind who benefits and who does not. It’s our choice. We decide.”
5. President Obama kicks of this solid collection of essays with a great speech he delivered on December 6, 2011, at Osawatomie High School in Osawatomie, Kansas.
6. The following positives will highlight the best essays of the book. Elizabeth Warren’s makes the compelling case for creating a Financial Product Safety Commission (FPSC) on the model of the Consumer Product Safety Commission to protect consumers from abusive banking practices. Her idea became law as the Consumer Financial Protection Bureau, which Professor Warren helped set up in 2010–2011.
7. Joseph E. Stiglitz states four reasons inequality is holding our recovery back. “The most immediate is that our middle class is too weak to support the consumer spending that has historically driven our economic growth.”
8. Kim Bobo provides a 5-star essay on how unions protect the interests of workers. “Unions not only raise wages, benefits, and working conditions. They stop wage theft. Unions are one of the most effective wage-theft deterrents around.”
9. Interesting essay by Christopher Jencks that explains why many jobs pay so poorly. “The logic of a market economy is that we should all be paid the smallest amount that will ensure that our work gets done, and that is what low-wage workers generally receive.”
10. Beth Shulman explains the reason behind the ever expanding service-producing sector. “In 1947, service-sector industries accounted for only half of all hours of employment. A half century later, approximately 80 percent of the 134 million nonfarm jobs are in the service-producing industries: retail trade, transportation, telecommunications, utilities, wholesale trade, finance, insurance and real estate, federal, state, and local government, and services.”
11. Two leading advocates for a fairer economy, Chuck Collins and Felice Yeskel, explain how great fortunes were assisted by taxpayer’s investments. “Thoughtful Americans are advancing a variety of proposals that would narrow the wealth gap, ranging from expanding worker ownership to creating universal asset-building accounts.”
12. Paul Krugman debunks the myth that education alone is responsible for our inequality. “What we’re seeing isn’t the rise of a fairly broad class of knowledge workers. Instead, we’re seeing the rise of a narrow oligarchy: income and wealth are becoming increasingly concentrated in the hands of small, privileged elite. The proof is right in the data we economists get paid to analyze and understand.”
13. Sean F. Reardon exposes what’s really behind children’s success in school. “Family income is now a better predictor of children’s success in school than race.”
14. Mary E. O’Brien provides an analysis of unequal quality of care. “Quality of health care has little meaning if millions are unable to access care in the first place.” “What we need is a system that scrupulously guards our medical privacy and confidentiality while affording health care professionals immediate access to a patient’s medical history.”
15. Authors Olveen Carrasquillo and Jaime Torres show how racism pervades the provision of health care in America with severe consequences. “Disparities in health are due to a variety of factors—including environment, housing, poverty, education, and racism—that go far beyond just having insurance.”
16. Leo W. Gerard explains the benefits of universal health care. “A national single-payer system would relieve corporations of the burden of health-insurance administration, stabilize costs, and give corporations, the global level playing field they want.”
17. My favorite essay goes to Inequality Kills by Stephen Bezruchka. “The forty-seven infant deaths occur every day because of the way society in the United States is structured, resulting in our health status being that of a middle-income country, not a rich country.”
18. Robert Kutter explains why inequality is as much a political problem as an economic one. “A prosperous economy demands investment in children, in health, in education, in job training, in public systems, in the commons generally.”
19. Two scholars Nancy Altman and Eric Kingson, show how Social Security does more to reduce income inequality and prevent poverty among the old in the United States than any other program, public or private, while providing crucial protection for orphans and the disabled. “The reality is that Social Security is not a government handout. It is a benefit that is earned and paid for through hard work.”
20. Ernest Drucker closes out the best of the rest with his excellent essay titled, A Different Kind of Epidemic. “A subtle but significant factor in inequality is America’s use of long prison sentences for nonviolent crimes, which has hit black Americans especially hard. A prominent epidemiologist explains this as a new kind of public health problem.”
Negatives:
1. Some essays did not live up to the quality established overall. Adam Smith’s (yes that Adam Smith) essay or excerpt on necessaries was underwhelming.
2. Barbara Ehrenreich’s satirical essay on the other end of the pay scale falls flat.
3. Herrera was misspelled throughout one of the best essays of the book, Wage Theft by Kim Bobo.
4. Unless you look closely you would think that this book was written by David Cay Johnston. The book cover does not make clear it’s a book of essays, the term edited implies that but I would venture to say many will miss that.
5. Lack of supplementary materials. I would have added a chapter of interesting tidbits that highlight the main theme of the book. Perhaps a table that showcases what CEOs of top companies make versus the average employee.
In summary, this was an interesting and accessible book of essays covering the hot topic of income inequality. These are generally high-quality essays that cover a wide-range of topics within inequality. A worthwhile read, I recommend it!
Further recommendations: “Perfectly Legal”, “The Fine Print” and “Free Lunch” by the same author, “Divide” by Matt Taibbi, “Runaway Inequality” and “Looting America” by Les Leopold, “Saving Capitalism” and “Beyond Outrage” by Robert B. Reich, “Protecting Capitalism Case by Case” by Eliot Spitzer, “The Great Divide” and “The Price of Inequality” by Joseph E. Stiglitz, “Winner-Take-All Politics” by Jacob S. Hacker “Republic, Lost” by Lawrence Lessig, “The New Elite” by Dr. Jim Taylor, “ECONned” by Yves Smith, “The Great Divergence” by Timothy Noah, and “Bailout” by Neil Barofsky.