Policy Experts, Academics Talk Inequality, Innovation at CWA Forum

CWA President Larry Cohen discusses the roots of wage inequality in the U.S. with Goldman Sachs' Abby Cohen and White House economic advisor Jason Furman.

CWA, Georgetown University's Kalmanovitz Initiative for Labor and the Working Poor and the Center for Economic and Policy Research hosted a forum for economic and policy experts on wage inequality, innovation and global and competitive challenges facing the U.S.

The findings were presented to the U.S. Department of Commerce as part of its comprehensive study and report on the economic competitiveness and innovative capacity of the United States. CWA President Larry Cohen is a member of the Innovation Advisory Board that works with the Department of Commerce.

CWA's Cohen outlined the reasons why income inequality is growing in the U.S., particularly the elimination of collective bargaining rights that has meant fewer workers able to make real improvements in their wage and job conditions.

Abby Cohen, senior investment strategist at Goldman Sachs, discussed the impact of education rates that have been stagnant over the past 10-12 years, and also pointed to declining research and development and patents in the U.S. as another serious concern. Research and development spending as a percentage of the Gross Domestic Product is just 2 percent, and just half of the patents issued go to U.S. citizens, the rest going to Asian countries.

Jason Furman of the White House National Economic Council cited unemployment as the most extreme form of inequality because it negatively affects growth and democracy. The President is focusing on his jobs plan and looking to other ways that innovation can expand opportunities for working Americans.

Also participating were leading academics, economists and other policy experts.