Calls for redistribution by government are heard on the streets, in the press and from some politicians. But by some measures economic inequality is no greater now than it was in the 1980s, according to one depth study of the issue.

From the article at realclearmarkets.com:

Government data on individual spending patterns show that the ratio of spending between the top and bottom 20 percent of the income distribution, measured on a per person basis, was essentially unchanged between 1985 and 2010. In 1985 people in the top quintile had spending that was 2.5 times that of people in the bottom quintile. By 2010, this ratio was 2.4.

This metric suggests that economic inequality has diminished slightly, rather than increased. (One must acknowledge that this analysis omits the capacity to save for people with additional discretionary income. Savings do indeed rise with income.)

Why look at spending? Spending is vital because it is the principal determinant of standard of living. It influences confidence in the future. It shows more comprehensively than cash income how much purchasing power individuals and families have. In sum, spending inequality provides a more meaningful measure of well-being than cash inequality.