The Gerontologist, Vol 30, Issue 4 437-443, Copyright © 1990 by The Gerontological Society of America

ARTICLES

Cumulative advantage, cumulative disadvantage, and inequality among elderly people

S Crystal and D Shea
Division on Aging, Institute for Health, Health Care Policy, and Aging Research, Rutgers University, New Brunswick, NJ 08903.

It is often asserted that economic inequality narrows after age 65 when benefit programs replace labor markets as principal income sources. However, analysis of recent Census data suggests inequality is greatest among elderly people. The worst off one-fifth of the elderly (disproportionately unmarried women, minorities, and the physically impaired) receives 5.5% of the elderly's total resources, whereas the best off one-fifth receives 46%. Equalizing effects of Social Security are more than outweighed by private pensions, asset income, and other sources. Findings suggest a process of cumulative economic advantage and disadvantage throughout the life course.

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