Is There Hope For The American Dream? What Americans Think About Income Inequality

January 9, 2020 - NPR
Joe Neel

Income inequality in the U.S. is at an all-time high, according to the Census Bureau. But do Americans care?

A new poll from NPR, the Robert Wood Johnson Foundation and the Harvard T.H. Chan School of Public Health shows that less than half of Americans, regardless of income, view it as very serious problem.

They hold these views even though a majority (57%) believes very wealthy Americans should pay more in taxes than they do now. Nearly half (48%) of the top 1% believe very wealthy Americans should pay more.

The poll, which surveyed 1,885 adults, is unique in that it was designed to reach a sample of at least 250 people in the upper 1% of income — $500,000 or more of household income a year. That opens a window on the views and experiences of this exclusive group that polls have not been able to capture.

In the future, should it be a priority for the president and Congress to reduce income differences between people with high incomes and those with low incomes?

Notes

Lower-income adults live in households earning less than $35,000/year; middle-income adults' household earnings are $35,000-$99,999/year; higher-income adults' household earnings are $100,000-$499,999/year; and top 1% income adults' household earnings are at least $500,000/year.

Source: NPR/Robert Wood Johnson Foundation/Harvard T.H. Chan School of Public Health poll: "Life Experiences and Income Inequality in the United States." The survey of 1,885 adults was conducted July 17-Aug. 18. The margin of error is 3.2 percentage points. "Don't know/refused" answers not shown.

Credit: Alyson Hurt/NPR

A sizable minority of the wealthiest Americans (45%) say reducing income inequality should be a priority for political leaders, though support for this idea was significantly higher among the poorest Americans (67%).

Achieving the American Dream

There were a few surprises in the poll. While the vast majority of the top 1% say they've achieved the American Dream, similar majorities of low- and middle-income people believe the American Dream is still within reach.

Views On Achieving The American Dream

Notes

Lower-income adults live in households earning less than $35,000/year; middle-income adults' household earnings are $35,000-$99,999/year; higher-income adults' household earnings are $100,000-$499,999/year; and top 1% income adults' household earnings are at least $500,000/year.

Source: NPR/Robert Wood Johnson Foundation/Harvard T.H. Chan School of Public Health poll: "Life Experiences and Income Inequality in the United States." The survey of 1,885 adults was conducted July 17-Aug. 18. The margin of error is 3.2 percentage points.

Credit: Alyson Hurt/NPR

In addition, 70% to 80% of parents and grandparents across income groups believe their children or grandchildren will achieve the American Dream. (We did not provide a definition for American Dream in our questions – so the responses reflect whatever people think it is.)

What it takes to be successful

There was remarkable agreement among the income groups that hard work is seen as very important in being economically successful in America today. That's despite research showing that factors such as family income, neighborhood and race/ethnicity are closely tied to economic achievement.

The top 1% and middle- and lower-income adults did not see those factors as being very important to economic success.

For each of the following, please tell me how important you think it is for being economically successful in America today.

Category
Lower income
Middle income
Higher income
Top 1% income
Hard work 87% 89% 90% 93%
Coming from an upper-income family 37% 37% 29% 33%
Growing up in an upper-income neighborhood 37% 30% 29% 34%
A person's racial/ethnic background 33% 24% 26% 27%

Notes

Lower-income adults live in households earning less than $35,000/year; middle-income adults' household earnings are $35,000-$99,999/year; higher-income adults' household earnings are $100,000-$499,999/year; and top 1% income adults' household earnings are at least $500,000/year.

Source: NPR/Robert Wood Johnson Foundation/Harvard T.H. Chan School of Public Health poll: "Life Experiences and Income Inequality in the United States." The survey of 1,885 adults was conducted July 17-Aug. 18. The margin of error is 3.2 percentage points. Categories ranked by the overall highest results among all respondents.

Credit: Alyson Hurt/NPR

Even though there's a good deal of optimism about future generations' ability to achieve economic success, about half of adults across income groups say it is harder for the average person to earn a middle-class income today, compared with when they were children.

Compared to when you were a child, do you think itfs harder or easier in the United States today for the average person to earn a middle-class income, or is it about the same?

Notes

Lower-income adults live in households earning less than $35,000/year; middle-income adults' household earnings are $35,000-$99,999/year; higher-income adults' household earnings are $100,000-$499,999/year; and top 1% income adults' household earnings are at least $500,000/year.

Source: NPR/Robert Wood Johnson Foundation/Harvard T.H. Chan School of Public Health poll: "Life Experiences and Income Inequality in the United States." The survey of 1,885 adults was conducted July 17-Aug. 18. The margin of error is 3.2 percentage points. "Don't know/refused" answers not shown.

Credit: Alyson Hurt/NPR

Health and education

A majority across all income groups says it is an important priority for government to make sure everyone living in the U.S. has health insurance coverage.

In the future, should it be a priority for the president and Congress to make sure everyone living in the United States has health insurance coverage?

Notes

Lower-income adults live in households earning less than $35,000/year; middle-income adults' household earnings are $35,000-$99,999/year; higher-income adults' household earnings are $100,000-$499,999/year; and top 1% income adults' household earnings are at least $500,000/year.

When it comes to the biggest health problems facing their local communities, the income groups diverged. The most cited health problems among the top 1% of income adults are obesity and drug addiction/abuse. For middle-income adults it's drug addiction/abuse and health care access. And among lower-income adults, the most-cited health problems are drug addiction/abuse, health care access, and cancer.

American health care is often touted as the best in the world, but our poll suggests that even when you can afford the best, quality is not guaranteed – 14% of the top 1% said they had had serious problems with health care quality. And 31% of the lowest income group said they had serious problems accessing health care when needed.

Within the past few years, have you or any members of your household ever had serious problems [with health care access and quality]?

Notes

Lower-income adults live in households earning less than $35,000/year; middle-income adults' household earnings are $35,000-$99,999/year; higher-income adults' household earnings are $100,000-$499,999/year; and top 1% income adults' household earnings are at least $500,000/year.

As might be expected, few of the wealthiest Americans reported having problems paying for the basics in life, though a surprising 1 in 10 say they've had a serious problem paying for higher education.

Within the past few years, have you or any members of your household ever had a serious problem _____?

Category
Lower income
Middle income
Higher income
Top 1% income
Paying for medical bills, dental bills or prescription drugs 57% 48% 30% 8%
With the cost of college/higher education 33% 30% 23% 12%
Paying your credit card debt/other debt 33% 31% 21% 6%
Finding an affordable place to live 35% 22% 11% 4%
With your rent/house payment 24% 17% 7% 1%
Paying for food 30% 12% 3% <1%

Notes

Lower-income adults live in households earning less than $35,000/year; middle-income adults' household earnings are $35,000-$99,999/year; higher-income adults' household earnings are $100,000-$499,999/year; and top 1% income adults' household earnings are at least $500,000/year.

Source: NPR/Robert Wood Johnson Foundation/Harvard T.H. Chan School of Public Health poll: "Life Experiences and Income Inequality in the United States." The survey of 1,885 adults was conducted July 17-Aug. 18. The margin of error is 3.2 percentage points. Categories ranked by the overall highest results among all respondents.

Credit: Alyson Hurt/NPR

Life satisfaction

When it comes to life satisfaction, most of the top 1% highest income adults say they are very satisfied with their lives overall, their finances, their housing, their education, and their jobs. Comparatively, middle- and lower-income adults report greater dissatisfaction than the top 1% in all of these areas. Adults in the top 1% also report lower levels of anxiety about the future than middle- and lower-income adults.

The landline and cellphone poll was conducted in July and August of 2019, with a sample size of 1,885 adults. The margin of error for the full sample is plus or minus 3.2 percentage points. Read the full results.