3 ms·

So what caused the change in 1973?

• atlih 9y ago
  Financialization of the economy. The fall of Bretton-Woods. The fall of the gold standard. The repeal of Glass-Steagall.
  • viridian 9y ago
    >The fall of the gold standard. >The fall of Bretton-Woods. 1971, not 1973 >The repeal of Glass-Steagall. 1999, not 1973
    • atlih 9y ago
      Macroeconomic changes take longer than just a few hours to have an impact. I included Glass-Steagall repeal because merely focusing on 1970's and nothing that happened there after is myopic
• mac01021 9y ago
  Here's an article which argues that wages have not been growing in line with productivity since 1973 because, since then, workers have been compensated with fringe benefits of increasing value, in lieu of greater wages. [http://www.heritage.org/jobs-and-labor/report/productivity-and-compensation-growing-together http://www.heritage.org/jobs-and-labor/report/productivity-a...] I'm sure that this is not the whole story, but I bet it's a big part of it.
• flatfilefan 9y ago
  Could it be an oversupply of labor that was caused by the availability of the pill and the following growing immigration asking for lower wages instead of incumbents https://tradingeconomics.com/united-states/labor-force-participation-rate https://tradingeconomics.com/united-states/labor-force-parti...