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The graph would very heavily depend on definitions, wouldn't it? Such a sharp change should easily be tracked down to a specific event. The entire economy doesn
by Aerroon 6y ago
The graph would very heavily depend on definitions, wouldn't it? Such a sharp change should easily be tracked down to a specific event. The entire economy doesn't just decide to to things differently in sync without an external factor. So, what happened at that time?
- zippy5 6y agoTo be fair, looks like the graph starts to flat-line in 1972-1973. I think that lines up with Nixon leaving the gold standard in 1971 and going to China in 1972. It's possible that globalization may have ended labor scarcity in the U.S. and thus labor has no leverage to capture productivity gains.
- Aerroon 6y agoI was thinking of those points too, but I figured that an analysis like theirs would point something like that out.