LIU WANTS TO SHARE PROSPERITY

Dear Friends,

Income inequality is a serious issue facing our country and city. Our findings support the cry of the city's 99% who have been sidelined by stagnant wages and under or unemployment problems.

As New York emerges from this economic trough, government must work to ensure prosperity is shared more equitably. That means economic development policies that enhance the middle class and diversify the tax base so that, five to ten years down the road, we're less dependent on the top 1%.

Below are some news reports of interest. --- NEW YORK TIMES: "More Earners at Extremes in New York Than in U.S." - 5/20/2012
http://www.nytimes.com/2012/05/21/nyregion/middle-class-smaller-in-new-york-city-than-nationally-study-finds.html?_r=1

EXCERPT - The wealthiest 1 percent of New York City residents tookin nearly one-third of the personal income in the city in 2009 -- almost double the comparable proportion nationwide, a new study shows. "New York City's economy would be healthier and more dynamic if the benefits of growth were more fairly distributed," said the comptroller, John C. Liu. "We need to promote a shared prosperity through policies that narrow the income gap, like strengthening investments in education and implementing a more progressive income-tax structure." --- NEW YORK DAILY NEWS: "Controller: Income gap between the haves and the have-nots is much greater in New York City" - 5/23/2012
http://www.nydailynews.com/new-york/controller-income-gap-haves-have-nots-greater-york-city-article-1.1082533#ixzz1viEoj2Bw

EXCERPT - Any New Yorker could have told City Controller John Liu -- who last Monday released a report on the city's huge income disparity -- that this is a place where the few have way too much and the many have way too little. One has just to look around to realize that is the case. What "Income Inequality in New York City" -- that's the report's name -- convincingly does is expose exactly how deep and how wide that disparity is, using concrete facts and figures. The city's income gap is almost twice - yes, twice -- the national average, with the top 1% of income tax filers receiving one-third of the city's personal income, while the top 1% across the U.S. accounted for 16.9% of the nation's income. "Such a wide income gap has financial consequences for the city," Liu said. "Income inequality can weaken or destabilize the local tax base, reinforce patterns of racial and economic segregation, and undermine the vibrant social, cultural, and economic mix that is the foundation of New York City's identity. It also threatens the very fragile economic recovery we are now experiencing." We all knew it already, but Liu's report, based on the 2009 tax filings -- the most recent available -- provided by the state's tax department, leaves no doubt about income inequality being out of control in our great city. --- WNYC: "Liu: NYC Income Gap Double National Average" - 5/21/2012
http://www.wnyc.org/blogs/empire/2012/may/21/liu-nyc-income-gap-double-national-average/

EXCERPT - "Such a wide income gap has financial consequences for the City," Liu said in a statement. "Income inequality can weaken or destabilize the local tax base, reinforce patterns of racial and economic segregation, and undermine the vibrant social, cultural, and economic mix that is the foundation of New York City's identity. It also threatens the very fragile economic recovery we are now experiencing." The comptroller said the disparity and volatility in gains over the last decade was a pattern the city should not repeat in the future. "We must not repeat the pattern of the last decade when a few gathered enormous wealth, while the vast majority of New York families were left behind or saw very modest gains," Liu said in a statement. --- VILLAGE VOICE: "John Liu is Concerned About Income Inequality; Mayor Bloomberg Says We Need the One Percent" - 5/21/2012
http://blogs.villagevoice.com/runninscared/2012/05/john_lius_conce.php

EXCERPT - Today, City Comptroller John Liu and Mayor Mike Bloomberg talked about the actual one percent of New York City. And unsurprisingly, they differ in their views on how the wealthiest top percent of New Yorkers impact the city's economy. The report, called "Income Inequality in New York City," -- drawing on Occupy Wall Street rhetoric -- found that nationally, the top one percent accounts for 16.9 percent of income, while in New York, the richest percent account for 32.5 percent of reported income in 2009 (which is the most recent data available from the state). The top one percent, according to the report, ended the past decade with an average income of $2.2 million. This wealthiest group also skyrocketed at a much greater rate than the average income growths of the 99 percent, the report says. --- METRO NEW YORK: "Income gap in NYC twice national average: Report" - 5/21/2012
http://www.metro.us/newyork/local/article/1143694--income-gap-in-nyc-twice-national-average-report

EXCERPT - The report, which was released by the city comptroller's office, revealed that the city's income gap is twice the national average. According to the report, the top 1 percent of New York tax filers accounted for 32.5 percent of the entire income in 2009, the last year studied. In contrast, nationally, the top 1 percent accounted for 16.9 percent of all income, according to the comptroller's report. The average income of these top earners in 2009 was $2.2 million, and the lower 99 percent of filers had an annual income of $47,000, according to the report. --- AM-NY: "City's income inequality gap double the U.S. average, Liu says" - 5/21/2012
http://www.amny.com/urbanite-1.812039/city-s-income-inequality-gap-double-the-u-s-average-liu-says-1.3731404

EXCERPT - The gap between the city's 1% and the rest of New Yorkers is more than double the national average, according to a new report released Monday. City Comptroller John Liu's office found that the wealthiest residents account for about a third of the city's income. Nationally, that same income bracket represents only about 17% of the nation's income, Liu's report found. "Income inequality can weaken or destabilize the local tax base [and] reinforce patterns of racial and economic segregation," Liu said in a statement. Mayor Mike Bloomberg dismissed Liu's findings at a news conference, noting that those wealthy New Yorkers contribute to half the city's annual revenue. --- NY1: "City's Income Gap Twice Higher Than National Average" - 5/21/2012
http://www.ny1.com/content/news_beats/political_news/161660/city-s-income-gap-twice-higher-than-national-average

EXCERPT - The city's income gap is twice the national average, according to a new report released by the office of City Comptroller John Liu. "We need wealthy people to come here because they pay taxes," said Bloomberg. "What we're doing is we're trying to do something for those at the other end of the economic ladder and the monies that we have to do that come from the high end." Liu countered Bloomberg's argument, saying, "Such a wide income gap has financial consequences for the city. Income inequality can weaken or destabilize the local tax base." --- THE L MAGAZINE: "New York City's 1 Percent Takes In A Third Of The Personal Income Pie, Study Finds" - 5/21/2012
http://www.thelmagazine.com/TheMeasure/archives/2012/05/21/new-york-citys-1-percent-takes-in-a-third-of-the-personal-income-pie-study-finds

EXCERPT - If your jaw isn't already on the floor, compare that figure to the national average that year--country-wide, the 1 percent had 17 percent of personal income in the nation. Hey, middle class, are you still there? "There is some evidence of the kind of common worry that New York has a weak middle," said Frank Braconi, chief economist in the comptroller's office.

http://liunewyork.nationbuilder.com/