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Median Wages Have PLUMMETED Since 1969

Posted By Washingtons Blog On August 9, 2012 @ 1:30 am In Think Tank | Comments Disabled

Real Wages Much Lower Than They Were Four Decades Ago

Wages need to rise to keep up with inflation, especially since the value of the dollar has been trashed:

 

Dollar from 1913.gif Median Wages Have PLUMMETED Since 1969 [1]
But Michael Greenstone and Adam Looney of the Hamilton Project  document [2] (hat tip Ezra Klein [3]) that real median earnings for men declinedbetween 1969 and 2009: 

 

hamilton1 Median Wages Have PLUMMETED Since 1969 [4]
And wages have only kept dropping [5]since 2009. 

In addition – when those who have only part-time work are taken into account – we have depression-level unemployment [6].

As Klein notes:

When you take all men, not just those working fulltime, into account, the slight decline in the above graph becomes a plummet of 28 percent in median real wages from 1969 to 2009.

 

hamilton2 Median Wages Have PLUMMETED Since 1969 [7]
The bottom line is that – due to idiotic government policy [8] – most of the jobs being created are part-time and low wage [9] jobs.

Article printed from The Big Picture: http://www.ritholtz.com/blog

URL to article: http://www.ritholtz.com/blog/2012/08/median-wages-have-plummeted-since-1969/

URLs in this post:

[1] Image: http://www.blogger.com/%20http://lh4.ggpht.com/_DFE3JnAqGKE/SuDU5zCQ_sI/AAAAAAAAAso/XS1ViCua7vA/Dollar-from-1913.gif.jpg

[2] document: http://www.hamiltonproject.org/files/downloads_and_links/07_milken_greenstone_looney.pdf

[3] Ezra Klein: http://www.washingtonpost.com/blogs/ezra-klein/wp/2012/07/31/wages-arent-stagnating-theyre-plummeting/

[4] Image: http://www.washingtonpost.com/blogs/ezra-klein/files/2012/07/hamilton1.jpg

[5] kept dropping: http://online.wsj.com/article/SB10001424052702304248704575574213897770830.html

[6] depression-level unemployment: http://www.washingtonsblog.com/2011/06/unemployment-during-the-great-depression-has-been-overstated-and-current-unemployment-understated-weve-now-got-depression-level-unemployment.html

[7] Image: http://www.washingtonpost.com/blogs/ezra-klein/files/2012/07/hamilton2.jpg

[8] idiotic government policy: http://www.washingtonsblog.com/2011/07/of-course-unemployment-is-rising-government-policy-is-guaranteeing-it.html

[9] part-time and low wage: http://www.zerohedge.com/news/final-nail-todays-nfp-tragicomedy-record-surge-part-time-workers

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