4 Comments

If average incomes for the lower class in the US, adjusted for inflation, have risen $11,000 over the last 50 years, why would they be in a worse position thant they were 50 years ago?

It is adjusted for inflation, so their buying power has increased if your inflation data is correct.

Expand full comment

The income rose, but not nearly enough to compensate for the rise in inflation and prices as it is stated, so lower class is in a worse position than it was 50 years ago despite the rise in income.

Expand full comment

The chart does not show the average income but the average icome adjusted for inflation, which rose $11,000. Most of the productivity gains were stolen from the lower class but their income adjusted for inflation rose a bit nonetheless.

Not sure how the adjustment for inflation is calculated for this chart, maybe with the CPI. As the CPI is not reliable, the average income adjusted for real inflation probably fell.

Expand full comment

Excellent work Mahek.

Expand full comment