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US Inflation Has Eaten Up Nearly 100 Percent of Hourly Wage Gains Since 1973

From mishtalk.com

Real (inflation-adjusted) wages for production and nonsupervisory workers increased from $8.04 in January of 1964 to $9.38 in February of 1973. That about a 16.7% gain but it was over 9 years. Nominal wages rose from $2.50 to $4.05 that's a 62% gain over 9 years. In the next 50 years real wages rose from $9.38 to $9.64, about half-a-penny per year on average. In nominal terms, wages rose from $4.05 in February of 1973 to $26.95 in March of 2022 but inflation ate nearly 100% of those gains. The series is normalized to the 1982-1984 CPI. (full story)

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  • Category: Fundamental Analysis