Here is our most basic economic problem in two simple graphs..

[Fumesucker]

Sometimes a picture really *is* worth a thousand words.

Real income in constant dollars has been declining for decades, as long as the great majority of us have been in the work force.

This is for the polyannas who keep saying, "our economy builds wealth".. Well, apparently it does for some, but not for the average American and most certainly not for those on the bottom of the economic heap.

[readmoreoften]

1. And that last one just goes up to 1999. I can't imagine what it looks like now.

Thanks for posting these.

[Warpy]

2. And what happened in 1969 to start wages on a downward trend?

Liberals went out of power for 40 years. We've had nothing but back to back conservative administrations from both parties.

If you think you've been screwed for the past 40 years, you have been.

[Junkdrawer]

3. The rest of the world recovered from WWII and, rather than reinvest...

our Capital Classes decided to pursue Empire and invest overseas.

Factory jobs were replaced by McJobs (often both husband and wife) and easy credit.

Result was a credit bubble, the destruction of families, and ultimately, collapse.

[Fumesucker]

5. There's an uptick around Carter's term..

Funny how supposedly that was such a bad period for the US of A.

[notesdev]

4. Don't forget CPI manipulation

which has been outrageous since at least 1996 (Boskin Commission). Value of wages vs. ACTUAL inflation is far worse than those charts indicate.

[Fumesucker]

6. Right, I'd forgotten that..

Thanks for the reminder.