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The problem is that, based on the factual numbers, this isn't true -- it's not a wash. Housing, Education, and Healthcare (things everyone bought "back then")
by maxsilver 11y ago
The problem is that, based on the factual numbers, this isn't true -- it's not a wash.
Housing, Education, and Healthcare (things everyone bought "back then") have gotten dramatically more expensive, far more than the other categories have dropped. It's not a wash, and the numbers back that up :
"The current average family of four spends:
- 21% less on clothing
- 44% less on major appliances
- 69% more on housing
- 90% more on health care
Than the average family spent in 1970's.
http://www.yale.edu/law/leo/052005/papers/Warren.pdf http://www.yale.edu/law/leo/052005/papers/Warren.pdf (these numbers are graphed on page 16)
- tsotha 11y agoThings like education, health care, and rent are all baked into the inflation numbers. If inflation and income growth are relatively constant (and they have been) then, yes, it is a wash. All she's proving here is people have more money to spend on the things that matter to them.