7 ms·

Paychecks are rising in the US, certainly. Just not very equally.

dragonelite 5y ago
But paychecks have no been outrunning inflation or follow productivity increase at least here in western Europe. My paychecks if lucky grows like 2~3% but my house value rises with like 10~18% so do my taxes I need to pay for owning a house.
strict9 5y ago
Securities, property, crypto and other related assets are the real rising stars. The rise of paychecks against that backdrop is very small. In the context of everything else that's increasing in price, it feels like a wash.
- adflux 5y ago
  Yup, thank the Federal Reserve. Elites profit the most from generous quantitative easing, aka "printer go brrr". Meanwhile you'll be paying double for a house.
  - CrazyPyroLinux 5y ago
    Yes, all taxation is theft, but inflation is a tax that is especially bad since it is regressive (affects the poor most), extra-judicial (no one voted to authorize it), and hidden (or at least disguised).
    - imtringued 5y ago
      In that case the poor should rejoice. The Fed has managed to keep inflation at 2% until the pandemic. It was 4% in the 80s and 3% in the 90s.
      - adflux 5y ago
        The fed has MEASURED it to be 2 percent using questionable methods. E.g. the biggest expense of yohr life is not counted
  - throwaway34241 5y ago
    The Fed's mandate includes keeping unemployment low, and its main tool for that (lowering interest rates) has the side effect of inflating asset prices. But what else can they do? The alternative (fiscal policy) is congress's responsibility and outside their control. If congress decided to take action they would adjust accordingly, in the mean time they are doing what they are officially tasked with with the tools that they have, even if that may not be ideal.
  - imtringued 5y ago
    Paying double for a house? You do know that you have to pay interest? Just because the resale price of the house is bigger doesn't mean financing has become more expensive.
    - adflux 5y ago
      Funny how the only dimension you can understand is the interest you have to pay. You know you still have to pay the house off right?
sudosysgen 5y ago
Increase can only be considered against inflation. They aren't really.
annoyingnoob 5y ago
Wages are only going up if you are at the very top. The bottom half is not going up. https://www.advisorperspectives.com/dshort/updates/2020/09/17/updated-u-s-household-incomes-a-50-year-perspective https://www.advisorperspectives.com/dshort/updates/2020/09/1...
- deleted 5y ago
  [deleted]
- mimikatz 5y ago
  This is a rough claim to make today. There a "fight" for 15, now most places are paying 15 for labor and Amazon warehouses are pushing 25. In the last year its pretty clear ages have gone up for the bottom half and by a large margin.
  - tuatoru 5y ago
    > In the last year its pretty clear ages have gone up for the bottom half and by a large margin. Primarily because the very lowest paid have entirely left the labour market. Lop off the lowest 10% and the average rises.
  - throwaway2048 5y ago
    You can look at the actual numbers, or you can blindly conjecture something must be "pretty clear".
simonh 5y ago
As against in China?
forkLding 5y ago
It is the same situation in China, or should I hazard by saying the entire world?

But paychecks have no been outrunning inflation or follow productivity increase at least here in western Europe. My paychecks if lucky grows like 2~3% but my house value rises with like 10~18% so do my taxes I need to pay for owning a house.

strict9 5y ago

Securities, property, crypto and other related assets are the real rising stars. The rise of paychecks against that backdrop is very small. In the context of everything else that's increasing in price, it feels like a wash.

adflux 5y ago
Yup, thank the Federal Reserve. Elites profit the most from generous quantitative easing, aka "printer go brrr". Meanwhile you'll be paying double for a house.
- CrazyPyroLinux 5y ago
  Yes, all taxation is theft, but inflation is a tax that is especially bad since it is regressive (affects the poor most), extra-judicial (no one voted to authorize it), and hidden (or at least disguised).
  - imtringued 5y ago
    In that case the poor should rejoice. The Fed has managed to keep inflation at 2% until the pandemic. It was 4% in the 80s and 3% in the 90s.
    - adflux 5y ago
      The fed has MEASURED it to be 2 percent using questionable methods. E.g. the biggest expense of yohr life is not counted
- throwaway34241 5y ago
  The Fed's mandate includes keeping unemployment low, and its main tool for that (lowering interest rates) has the side effect of inflating asset prices. But what else can they do? The alternative (fiscal policy) is congress's responsibility and outside their control. If congress decided to take action they would adjust accordingly, in the mean time they are doing what they are officially tasked with with the tools that they have, even if that may not be ideal.
- imtringued 5y ago
  Paying double for a house? You do know that you have to pay interest? Just because the resale price of the house is bigger doesn't mean financing has become more expensive.
  - adflux 5y ago
    Funny how the only dimension you can understand is the interest you have to pay. You know you still have to pay the house off right?

sudosysgen 5y ago

Increase can only be considered against inflation. They aren't really.

annoyingnoob 5y ago

Wages are only going up if you are at the very top. The bottom half is not going up. https://www.advisorperspectives.com/dshort/updates/2020/09/17/updated-u-s-household-incomes-a-50-year-perspective https://www.advisorperspectives.com/dshort/updates/2020/09/1...

deleted 5y ago
[deleted]
mimikatz 5y ago
This is a rough claim to make today. There a "fight" for 15, now most places are paying 15 for labor and Amazon warehouses are pushing 25. In the last year its pretty clear ages have gone up for the bottom half and by a large margin.
- tuatoru 5y ago
  > In the last year its pretty clear ages have gone up for the bottom half and by a large margin. Primarily because the very lowest paid have entirely left the labour market. Lop off the lowest 10% and the average rises.
- throwaway2048 5y ago
  You can look at the actual numbers, or you can blindly conjecture something must be "pretty clear".

simonh 5y ago

As against in China?

forkLding 5y ago

It is the same situation in China, or should I hazard by saying the entire world?