IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v9y2017i2p248-d89977.html
   My bibliography  Save this article

Social Capital, Race, and Income Inequality in the United States

Author

Listed:
  • Baodong Liu

    (Department of Political Science, University of Utah, Salt Lake City, UT 84112-9155, USA)

  • Yehua Dennis Wei

    (Department of Geography, University of Utah, Salt Lake City, UT 84112-9155, USA)

  • Christopher A. Simon

    (Department of Political Science, University of Utah, Salt Lake City, UT 84112-9155, USA)

Abstract

Since the 1980s, the United States has witnessed increasing wealth concentration in the hands of the ultra-rich. Measured at the state level, the top 10 percent of income earners amassed roughly 43% of total income, and economic growth only enhanced this inequality between the ultrarich and the rest of citizens. This paper examines whether social capital plays a positive role in mitigating income inequality at the state level, with an emphasis on racial diversity and its relation to church attendance. The empirical findings demonstrate that social capital, whether measured by Robert Putnam’s state-level social capital index (SCI), or a new measure that improves SCI’s original measurement, fails to improve income equality. In comparison, racial diversity is found to be a consistent contributor of income inequality. In states with a greater proportion of minority population, the ultra-rich tend to share more wealth and social capital potentially facilitates the ultra-rich to enjoy the benefit of economic growth.

Suggested Citation

  • Baodong Liu & Yehua Dennis Wei & Christopher A. Simon, 2017. "Social Capital, Race, and Income Inequality in the United States," Sustainability, MDPI, vol. 9(2), pages 1-14, February.
  • Handle: RePEc:gam:jsusta:v:9:y:2017:i:2:p:248-:d:89977
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/9/2/248/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/9/2/248/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Baodong Liu & Sharon D. Wright Austin & Byron D'Andrá Orey, 2009. "Church Attendance, Social Capital, and Black Voting Participation," Social Science Quarterly, Southwestern Social Science Association, vol. 90(3), pages 576-592, September.
    2. Yehua Dennis Wei & Weiye Xiao & Ming Wen & Ran Wei, 2016. "Walkability, Land Use and Physical Activity," Sustainability, MDPI, vol. 8(1), pages 1-16, January.
    3. Mark W. Frank, 2009. "Inequality And Growth In The United States: Evidence From A New State‐Level Panel Of Income Inequality Measures," Economic Inquiry, Western Economic Association International, vol. 47(1), pages 55-68, January.
    4. Ignacio C. Fernández & David Manuel-Navarrete & Robinson Torres-Salinas, 2016. "Breaking Resilient Patterns of Inequality in Santiago de Chile: Challenges to Navigate towards a More Sustainable City," Sustainability, MDPI, vol. 8(8), pages 1-19, August.
    5. Claus-Heinrich Daub & Yvonne M. Scherrer & Arie H. Verkuil, 2014. "Exploring Reasons for the Resistance to Sustainable Management within Non-Profit Organizations," Sustainability, MDPI, vol. 6(6), pages 1-19, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ma Yuan & Cao Yue-qun & Wang Hao & Xiang Hong, 2022. "Does Social Capital Promote Health?," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 162(2), pages 501-524, July.
    2. Feixue Xiong & Shubin Zhu & Hui Xiao & Xiaolan Kang & Fangting Xie, 2021. "Does Social Capital Benefit the Improvement of Rural Households’ Sustainable Livelihood Ability? Based on the Survey Data of Jiangxi Province, China," Sustainability, MDPI, vol. 13(19), pages 1-17, October.
    3. Li, Shiyuan & Li, Yumin, 2021. "The Impact of Mobile Phone Adoption on Income Inequality," MPRA Paper 110969, University Library of Munich, Germany.
    4. Ren, Zhiyuan & Zhu, Yuhan & Jin, Canyang & Xu, Aiting, 2023. "Social capital and energy poverty: Empirical evidence from China," Energy, Elsevier, vol. 267(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rey, Sergio, 2015. "Bells in Space: The Spatial Dynamics of US Interpersonal and Interregional Income Inequality," MPRA Paper 69482, University Library of Munich, Germany.
    2. Dincer, Oguzhan C., 2011. "Trust and schooling in the United States," Economics of Education Review, Elsevier, vol. 30(5), pages 1097-1102, October.
    3. Cristiano Perugini & Gaetano Martino, 2008. "Income Inequality Within European Regions: Determinants And Effects On Growth," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 54(3), pages 373-406, September.
    4. Emma Hooper & Sanjay Peters & Patrick A. Pintus, 2021. "The impact of infrastructure investments on income inequality: Evidence from US states," Economics of Transition and Institutional Change, John Wiley & Sons, vol. 29(2), pages 227-256, April.
    5. Sebastian Doerr & Thomas Drechsel & Donggyu Lee, 2021. "Income inequality, financial intermediation, and small firms," BIS Working Papers 944, Bank for International Settlements.
    6. Kyungmin Kim, 2020. "Income inequality and house prices in the United States: A panel VAR analysis," Economics Bulletin, AccessEcon, vol. 40(3), pages 2111-2120.
    7. Dierk Herzer & Sebastian Vollmer, 2012. "Inequality and growth: evidence from panel cointegration," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 10(4), pages 489-503, December.
    8. Lockwood, Benjamin B. & Weinzierl, Matthew, 2015. "De Gustibus non est Taxandum: Heterogeneity in preferences and optimal redistribution," Journal of Public Economics, Elsevier, vol. 124(C), pages 74-80.
    9. Bernard Njindan Iyke & Sin‐Yu Ho, 2020. "Consumption and exchange rate uncertainty: Evidence from selected Asian countries," The World Economy, Wiley Blackwell, vol. 43(9), pages 2437-2462, September.
    10. Sergio J. Rey, 2018. "Bells in Space," International Regional Science Review, , vol. 41(2), pages 152-182, March.
    11. Kirill Borissov & Stefano Bosi & Thai Ha-Huy & Leonor Modesto, 2017. "Heterogeneous Human Capital, Inequality and Growth: The Role of Patience and Skills," EUSP Department of Economics Working Paper Series 2017/03, European University at St. Petersburg, Department of Economics.
    12. Nikos Benos & Nikolaos Mylonidis & Stefania Zotou, 2017. "Estimating production functions for the US states: the role of public and human capital," Empirical Economics, Springer, vol. 52(2), pages 691-721, March.
    13. Dierk Herzer, 2016. "Unions and Income Inequality," Economic Development Quarterly, , vol. 30(3), pages 267-274, August.
    14. Atems, Bebonchu, 2018. "Regional heterogeneity in the relationship between inequality and growth: Evidence from panel vector autoregressions," The Journal of Economic Asymmetries, Elsevier, vol. 17(C), pages 41-47.
    15. Jia Wang & Weici Yuan & Cynthia Rogers, 2020. "Economic Development Incentives: What Can We Learn From Policy Regime Changes?," Economic Development Quarterly, , vol. 34(2), pages 116-125, May.
    16. Lee, Jangyoun, 2021. "Behind rising inequality and falling growth," Journal of Macroeconomics, Elsevier, vol. 70(C).
    17. Bebonchu Atems & Grayden Shand, 2018. "An empirical analysis of the relationship between entrepreneurship and income inequality," Small Business Economics, Springer, vol. 51(4), pages 905-922, December.
    18. Zhang, W.-B., 2014. "Ethnic Human Capital Externalities and Inequality in a General Equilibrium Growth Model," Journal of the New Economic Association, New Economic Association, vol. 21(1), pages 33-54.
    19. Saint Akadiri, Seyi & Alola, Andrew Adewale & Akadiri, Ada Chigozie & Alola, Uju Violet, 2019. "Renewable energy consumption in EU-28 countries: Policy toward pollution mitigation and economic sustainability," Energy Policy, Elsevier, vol. 132(C), pages 803-810.
    20. Mohsen Bahmani‐Oskooee & Mehrnoosh Hasanzade, 2022. "Policy uncertainty and income distribution: Asymmetric evidence from state‐level data in the United States," Bulletin of Economic Research, Wiley Blackwell, vol. 74(1), pages 179-220, January.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:9:y:2017:i:2:p:248-:d:89977. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.