LIMEW Reports | February 2004

Levy Institute Measure of Economic Well-Being

Concept Measurement and Findings: United States, 1989 and 2000

The Levy Economics Institute has, since its inception, maintained an active research program on the distribution of earnings, income, and wealth. Experience from the 1990s suggests that economic growth alone cannot dramatically reduce economic inequality. Because we are concerned with the improvement of well being, we have initiated a research project, the Levy Institute Measure of Economic Well-Being (LIMEW), within the program on distribution of income and wealth. This project seeks to assess policy options and to provide guidance toward improving the distribution of economic well-being in the United States, and it gives us the opportunity to track the progress of economic well-being using a comprehensive measure. Our expectation is that the LIMEW will become a useful tool for policymakers to assess programs and to design policies that will ensure improvement in economic well-being.

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