Issue link: https://blog.providence.org/i/1367404
7 58 th in income inequality among the 150 largest regions, a ranking higher than the nearby San Diego metro area. And Orange County's middle class is shrinking: since 1979, the share of households with middle-class incomes decreased from 40 to 33 percent. This change is related to differences in wage growth across income levels. After adjusting for inflation, wage growth for top earners in Orange County increased by 24 percent between 1979 and 2016. During the same period, wages for the lowest earners fell by 26 percent. Wages for these lower-wage workers fell at a greater rate in Orange County than at the national level. Meanwhile, low-wage jobs are growing at a much faster rate than both middle- and high-wage jobs (28 percent compared to 7 and 6 percent respectively). Inequalities threaten the region's long-term economic prosperity As Orange County experiences dramatic demographic change, its regional economy continues to outpace national growth. Since the 1990s, the unemployment rate in Orange County has generally been lower than the national average. In addition, the number of jobs and the gross regional product (GRP) have both grown faster than the nation as a whole between 1979 and 2016. However, data also show that the economic improvements are not benefiting everyone. Despite relatively low unemployment and strong job growth, Orange County ranks Source: Integrated Public Use Microdata Series. Universe includes civilian noninstitutional full-time wage and salary workers ages 25 through 64. Note: Data for 2016 represent a 2012 through 2016 average. Wages grew only for higher-wage workers and fell for middle- and low-wage workers Real Earned Income Growth for Full-Time Wage and Salary Workers, 1979 to 2016 -26% -21% -10% 11% 24% -12% -10% -7% 7% 19% 10th Percentile 20th Percentile 50th Percentile 80th Percentile 90th Percentile Orange County United States