Income Inequality

I think this is a really great post about the causes of income inequality in America from Free Exchange

But inequality would have grown anyway for two important reasons. First, through the 1970s and 1980s, technology shifts substantially increased the return to human capital, boosting incomes for college graduates and placing strong downward pressure on middle-income clerical positions. Second, since the 1980s, educational attainment numbers have behaved oddly. More Americans than ever are attending college and getting degrees, but more Americans than ever are also dropping out of high school, despite the large return to education.

So the problem is that education is more important than ever, but fewer people are getting a decent education. It also talks a bit about why many favorite boogey-men (e.g. immigration, trade) just can't be the full answer.