Household Wealth Broadly Rose in Years Leading Up to Pandemic, Fed Report Concludes
By Harriet Torry
U.S. families' wealth broadly rose in the years headed into the
coronavirus pandemic, with those in lower-income and lower-wealth
categories reaping relatively large gains, the Federal Reserve said
in a report on household finances.
As property and stock prices rose, households' median net worth,
or wealth, rose 18% to $121,700 from 2016 to 2019, according to the
Fed's Survey of Consumer Finances released on Monday. The report is
produced every three years.
Families at the top of the income and wealth distributions
experienced very little, if any, growth after experiencing large
gains between 2013 and 2016, the report said. By contrast, families
near the bottom of the income and wealth distributions generally
saw their net worth continue to rise between 2016 and 2019.
Median household income -- the level at which half are above and
half are below -- rose 5% to $58,600, before taxes and adjusted for
inflation. The rise in incomes came as the economy grew 2.5% a year
on average, inflation remained low and the unemployment rate
(END) Dow Jones Newswires
September 28, 2020 12:20 ET (16:20 GMT)
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