Inflation-adjusted wages are below what they were 35 years ago

[lancemurdoch]

The average inflation adjusted hourly wage is below what it was thirty-five years ago, according to the government's Bureau of Labor Statistics. In other words, people made more per hour 35 years ago then today. This isn't a short-term trend, this has been a long-term, 35 year trend.

Republicans find it very hard to deal with these figures and spin them, especially after they start talking about how great things are. One thing they do is attack the inflation part of it, saying inflation is overstated. But the BLS figures reflect the Boskin commission's recommendations for inflation. In other words, the numbers already reflect their point of view, that the inflation rate is overtstated. Another attack is that things have improved since 35 year ago in terms of things like portable computers and such. The bottom line is though that the average worker does not have a portable computer or some of the electronics they might name. In fact, relative to inflation, rent has skyrocketed - with rent, food and basic staples being the primary purchases before electronic gadgets. So while a 21" TV might be slightly cheaper than 35 years ago, the rent for the apartment (or cost of the house) it is in has skyrocketed - relative to inflation.

See for yourself (and don't forget step 2!)

1) Go to http://www.bls.gov/webapps/legacy/cesbtab4.htm
2) Click constant dollars to adjust for inflation
3) Click retrieve data
4) Change from tab to 1968
5) Click go

And don't forget step 2...99% of the people who say my numbers are wrong winf up skipping step 2 for some reason.

[bluestateguy]

1. Shhhhhh.....

That's CLASS WARFARE! What really matters are corporate profits! Then you'll see a real economic boom for everybody!

[QC]

2. Great point, and a winning issue for anyone who will run with it.

Gore broke my heart when he made some tentative populist noises in 2000, saw his poll numbers rise, and then ran away like a scalded dog when the pundits jumped on him for practicing "class warfare."

Everybody who works for a living knows that wages are low and living expenses are high. This issue is a natural.

[Another Bill C.]

3. 35 years ago

I had an entry-level job as a technician. I was able to have a small suburban house built with real wood materials, hardwood floors, and a tuck-under garage on a 1/4 acre lot. My wife stayed home to take care of our daughter. Every Friday night my wife and I hired a baby-sitter and went out for dinner. Things were a little tight but we made it on what I took in. Inflation adjusted, that's about $30,000 a year today. I'm not sure what you could build on that salary today -- maybe a fancy garage or an icefishing house.

[Robin Hood]

4. And yet,

Big business and the Republicans kick and scream everytime that minimum wage is raised a cent.

[Occulus]

5. This is why

I very firmly believe there ought to be an income cap in this country. I'm only talking about CEOs and board members here... nowhere in this country is it necessary to make more than one million a year to survive.In fact, in every location you care to name, the necessity is far, far, far, far, FAR less than that.

Yes, it's a communist idea, but short of revoking corporate personhood, I can't see another solution.

Funny how corporate personhood is at the root of so many of our problems, isn't it?

[Yupster]

6. And they'll keep going down

if we don't find a way to stop exporting our jobs overseas.

[SoCalDem]

7. In 1979, my husband made 24,500.00 a year..

We had a 5 yr old, a 1 yr old and a newborn.. We were able to buy a really nice house, and I did not work.. We also bought a new car(payment was $110.00 a month), and had an occasional night out..

A week's groceries cost under $45.00..gas was 50 cents a gallon, bread was 3 loaves for a dollar, eggs were 49 cents a dozen..

a doctors visit for all three kids cost me $25.00.. A prescription for amoxicillin was around $5..

In our neighborhood, NONE of the wives had paying jobs.. Try doing that in today's wages/prices..

[FDRrocks]

8. Ralph Nader has been saying this for years...

Though I imagine many people here do not care.

[Skittles]

9. perhaps Ralph should have started with a political office

other than the presidency