3 ms·
> wages grow linearly at best. This isn't true at all. https://ourworldindata.org/grapher/average-real-gdp-per-capita-across-countries-and-regions https://our
by dcolkitt 6y ago
> wages grow linearly at best.
This isn't true at all.
https://ourworldindata.org/grapher/average-real-gdp-per-capita-across-countries-and-regions https://ourworldindata.org/grapher/average-real-gdp-per-capi...
- leetcrew 6y agogdp per capita is not a good proxy for wages.
- dcolkitt 6y agoLabor share of GDP went from 64% in 1950 to 58% today. That means wages grew slightly slower than GDP per capita, that’s certainly not enough to mean wages grew sub-exponentially. For wages to grow linearly, labor share of GDP would have to fall exponentially towards zero. https://www.bls.gov/opub/mlr/2017/article/estimating-the-us-labor-share.htm https://www.bls.gov/opub/mlr/2017/article/estimating-the-us-...
- ajmadesc 6y agoAnalyses like this show why we need to teach statistics in place of calculus in high school.
- leetcrew 6y agonot really. the key mistake here is treating gdp is a proxy for wages when there is no direct connection between the two. in a pathological case, you could have a $1T GDP and have zero wages paid. the question of whether mean or median figures are more appropriate when talking about wages (what I assume you are alluding to with your statistics quip) is a side issue. no amount of statistics knowledge will help someone who insists on comparing apples to oranges.