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How come the 99%s wages aren't going up with inflation?

LightG 4y ago
"Because, it's been a tough year. We'll look to implement a bonus scheme next year which will help us keep up with inflation" ... and all that boll@cks. Advice: either be in the 1%, or change jobs regularly enough to consistently boost salary ahead of inflation.
marcosdumay 4y ago
Inflation lifts banks and other entities that can issue new money. After them, it lifts people with good contact with the former set, and goes group by group in proportion to how much (economic) contact they have, getting diluted each time. This is a pretty fundamental mechanic of markets. Stuff don't spread around if there aren't any transactions.
- aaomidi 4y ago
  Trickle down economics. I promise it’ll work this time! Folks, unions and high taxation with an emphasis on public works and strengthening the public sector literally has proof that it works. High taxation with an emphasis on military won’t help, so we need to address that first. The dream of trickle down economics has been proven false time and time again. In the US, in Russia, in UK. It’s not a strategy that has long term success. And it’s driving the world to suffocate itself, so in a very long term scale it’s actually disastrous.
  - WalterBright 4y ago
    It didn't appear to work because the government sector growth consumed all of it.
  - marcosdumay 4y ago
    I'm at loss what in my comment made you think about trickle down economics.
    - aaomidi 4y ago
      What you’re suggesting is one of the talking points of trickle down economics
      - marcosdumay 4y ago
        What part of my comment suggests that trickle down economics work? Thew one where I say things don't propagate through the economy immediately or the one that says that the farther away people are from the origin of something, the least of it they will get? And what part of it applies to trickle down economics anyway, that is about wealth redistribution, instead of immediate diffusion of a specific good?
sokoloff 4y ago
They are going up (in nominal terms) with inflation. From the latest BLS report on the topic: “Real average hourly earnings decreased 1.9 percent, seasonally adjusted, from November 2021 to November 2022.”*1 Average hourly earnings went from $31.23 in Nov 2021 to $32.82 in Nov 2022.*2 That’s where you see average current income rising with inflation (+5.1% YoY) *1 https://www.bls.gov/news.release/realer.nr0.htm https://www.bls.gov/news.release/realer.nr0.htm *2 https://www.bls.gov/news.release/realer.t01.htm https://www.bls.gov/news.release/realer.t01.htm

"Because, it's been a tough year. We'll look to implement a bonus scheme next year which will help us keep up with inflation" ... and all that boll@cks. Advice: either be in the 1%, or change jobs regularly enough to consistently boost salary ahead of inflation.

marcosdumay 4y ago

Inflation lifts banks and other entities that can issue new money. After them, it lifts people with good contact with the former set, and goes group by group in proportion to how much (economic) contact they have, getting diluted each time. This is a pretty fundamental mechanic of markets. Stuff don't spread around if there aren't any transactions.

aaomidi 4y ago
Trickle down economics. I promise it’ll work this time! Folks, unions and high taxation with an emphasis on public works and strengthening the public sector literally has proof that it works. High taxation with an emphasis on military won’t help, so we need to address that first. The dream of trickle down economics has been proven false time and time again. In the US, in Russia, in UK. It’s not a strategy that has long term success. And it’s driving the world to suffocate itself, so in a very long term scale it’s actually disastrous.
- WalterBright 4y ago
  It didn't appear to work because the government sector growth consumed all of it.
- marcosdumay 4y ago
  I'm at loss what in my comment made you think about trickle down economics.
  - aaomidi 4y ago
    What you’re suggesting is one of the talking points of trickle down economics
    - marcosdumay 4y ago
      What part of my comment suggests that trickle down economics work? Thew one where I say things don't propagate through the economy immediately or the one that says that the farther away people are from the origin of something, the least of it they will get? And what part of it applies to trickle down economics anyway, that is about wealth redistribution, instead of immediate diffusion of a specific good?

sokoloff 4y ago

They are going up (in nominal terms) with inflation. From the latest BLS report on the topic: “Real average hourly earnings decreased 1.9 percent, seasonally adjusted, from November 2021 to November 2022.”*1 Average hourly earnings went from $31.23 in Nov 2021 to $32.82 in Nov 2022.*2 That’s where you see average current income rising with inflation (+5.1% YoY) *1 https://www.bls.gov/news.release/realer.nr0.htm https://www.bls.gov/news.release/realer.nr0.htm *2 https://www.bls.gov/news.release/realer.t01.htm https://www.bls.gov/news.release/realer.t01.htm