Income inequality in Ohio
While the top 1% of Ohioans earn 10% of the state's total income, the bottom 50% earn just 13%.
- That disparity puts Ohio 29th among states per a new Scioto Analysis study.
Why it matters: Income inequality can negatively impact the well-being of a population and cause social and health problems.
By the numbers: The top 1% of earners make about 19 times more than the rest of Ohioans — almost $813,000 yearly.
- Ohioans with a high school diploma are earning almost $12,000 more than those without one.
- College graduates earn about $27,000 more on average than Ohioans with only a high school diploma.
- As of 2018, 76% of Ohioans had not earned a bachelor's degree and 31% did not have a high school diploma.
Zoom in: According to the Economic Policy Institute, Cleveland-Elyria is the most unequal metropolitan area in the state.
- Average yearly income of the top 1% is over $1 million. The bottom 99% is just over $48,000.
What we're watching: The study identified ways to potentially lessen Ohio's income inequality.
- Increasing minimum wage from the current $9.30 to $15 an hour would benefit 42% of Ohioans, it says.
- Implementing earned income tax credits would provide Ohioans with allotted payments depending on how far below the federal poverty level they fall.
What they're saying: "Traditional tools like earned income tax credits and minimum wage increases can ameliorate inequality, but according to our simulations, a negative income tax would have an impact three times as large as either of those measures," said Rob Moore, principal at Scioto Analysis, in a statement.
The big picture: Nationally, the highest earners continue to make more while middle and lowest earners' income growth has plateaued.
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