In Canada, "Rags to Riches" Is a Myth

The Fraser Institute's recent study on income mobility claims it is turning conventional wisdom on its head. In a nutshell, they say income inequality in Canada is not a problem because more people have incomes that have been going up than down, particularly among the poorest earners. This reasoning, if it were conceptually and empirically correct, would certainly provide an important caution to the Occupy Wall Street concerns about the dramatic growth in incomes of the top one per cent. Unfortunately, its results are misleading.