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Megan McArdle

Megan McArdle - Megan McArdle is a senior editor for The Atlantic who writes about business and economics. She has worked at three start-ups, a consulting firm, an investment bank, a disaster recovery firm at Ground Zero, and The Economist. She is currently on leave.
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Megan was born and raised on the Upper West Side of Manhattan, and yes, she does enjoy her lattes, as well as the occasional extra-dry skim-milk cappuccino. Her checkered work history includes three start-ups, four years as a technology project manager for a boutique consulting firm, a summer as an associate at an investment bank, and a year spent as sort of an executive copy girl for one of the disaster-recovery firms at Ground Zero � all before the age of 30.

While working at Ground Zero, Megan started Live From the WTC, a blog focused on economics, business, and cooking. She may or may not have been the first major economics blogger, depending on whether we are allowed to throw outlying variables such as Brad Delong out of the set. From there it was but a few steps down the slippery slope to freelance journalism. She has worked in various capacities for The Economist, where she wrote about economics and oversaw the founding of Free Exchange, the magazine's economics blog. She has also maintained her own blog, Asymmetrical Information, which moved to The Atlantic, along with its owner, in August 2007.

Megan holds a bachelor's degree in English literature from the University of Pennsylvania and an M.B.A. from the University of Chicago. After a lifetime as a New Yorker, she now resides in northwest Washington, D.C., where she is still trying to figure out what one does with an apartment larger than 400 square feet.

The Great Work Divide

By Megan McArdle
Nov 22 2011, 11:01 AM ET Comment

Reihan Salam has an interesting post on income inequality in which he notes that executives of days past used to consume a lot more of their "income inequality" in the form of corporate perks.  Salam attributes this to the fact that there was more within-firm skill inequality; I'd chalk it up more to the tax code, which in 1986 was changed in various ways that made it much more attractive to pay your employees in salary, and much less attractive to pay them in the form of lavish expense accounts and magnificent private office space.  The notion of an executive washroom with its own special key now seems mostly ludicrous, but it was an actual thing--and I'm not sure that giving executives special bathrooms is actually noticeably less corrosive to social cohesion and personal happiness than giving them fatter pay packets.


This particular passage struck a nerve with me:

In a sense, the sorting mechanism at firms like Apple happens before you join the firm: its employees are homogeneously high-skilled, now that manufacturing, etc., has been off-shored. So while a firm like Pepsi might have had a range of employees at different skill levels, that is somewhat less true of the iconic technology firms of our own era.
It suddenly occurred to me that this is a standard feature of the work lives of blue state elites--(Update:  By which I mean, affluent people who attended elite schools, not "high income people who live in blue states"):  almost all of their contact is with people just like them.  Same education, usually the same few states of origin, and a pretty uniformly shared set of values about what work is for and how it should be done.

These people tend to vote Democratic.  Small-business owners, who work in much more diverse environments, tend to vote Republican.  I'm not going to speculate on why this might be so--but I suspect that it matters.


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