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In my post earlier this morning about jobs growth, I mentioned that wage growth continues to be stuck at about zero after accounting for inflation. This probably deserves a chart of its own to make it clear what things look like, so here it is: wage growth after inflation since the recovery began in 2010. As you can see, real wages have been bouncing along slightly above and slightly below zero for four years now. If you use alternate measures of inflation, the trend is even worse.
This is the basic lay of the land. Yes, the economy is improving and jobs are becoming more plentiful. But most of us have seen our pay stagnate for four years and counting. That’s one of the reasons the public mood remains so sour.