by Abby Zimet
Business isn't investing in workers, and it shows. Stunning charts from David Frum show the lowest recorded worker share of U.S. income ever. Odd, though. Charts of corporate profits look different.
Obama and Geithner have proven to be very stimulating to banksters.
A link to the Bureau of Labor Statistics data would be great. Share of what income? What is meant by workers? Arguably, everybody with a job is a worker. And what income? Does this mean that employed people are receiving a smaller portion of national earnings? Does income include capital gains?
Sadly, this graph is effectively _meaningless_ without some further info.
"Income" should be clear enough - just look at a 1040 form - or the equivalent form for a corporation,the 1120 form. Everything on the first section of the form is "income".
So the denominator is the income of every person business and corporation from all sources - business and individual, including appreciation of investments, profits, and wages and salaries. Everybody with a job is a worker, but most wealthy people - including CEO's make far more from investment income than salary.
Now the numerator, by "worker" is a bit vague butonly if you are getting nit picky. Do they mean just hourly, or both hourly and overtime-exempt salaries? It does not matter too much unless you are an economist studying it. The vertical axis is not an actual number or percentage, but an index, where 2005 = 100. Basically, it says that about 14.7 percent more of the total national income went to wages (or wages and salaries) salaries than it does now. It does not give any information on the actual share of income that is in the form of wages and salaries - but that information is easy fairly to find go to Table 3 here:
This may help. It seems to be related to the chart.
"Sadly, this graph is effectively _meaningless_ without some further info."
That would of course depend on what you think the meaning of is, is.
In the sixties, we learned how to live well while doing without.
Tune in, turn on, drop out was an auspicious suggestion
I am sixty and you know I've gone back to that through financial necessity. Not actually a bad lifestyle and you can still call your soul your own. The most important things in life are still friends and family and so far Wall St. has not discovered how to corner that market and turn it against us.
The time may be coming quicker than we can imagine when the majority of us will have to learn to live this way. It's the way I was raised and the way I've always lived. Back then - late '60s, early '70s, there was the Whole Earth Catalog that explained simple ways of getting back to the earth; my favorite was to plant a carrot seed, then watch it grow - in other words, relax. We had the Whole Earth Festivals that also helped teach those who didn't have a clue how to do anything other than shop. We could benefit from such things now. It's beginning to look like it'll be a long, long time before, if ever, things get anywhere near what they used to be.
Right on brother. We're still here aren't we?
Note year 1987 -
Things never recovered - that was about the time of the stock-market crash in October of that year:
Given that the graph is accurate, and the data un-fudged, there is a world of significance in this presentation -
Abandonment of the US market and worker by multi-nationals??
I think one reason for this fall in worker share of income is that so many of the high paying manufacturing jobs are gone. Many have been lost to new time saving production techniques, but the larger reason is that those good paying jobs no longer exist in the United States.
Businesses that were once thought of as American Corporations are now International Corporations, and therefore owe no allegiance to this country nor to its workers..
Hmm... interesting source. I suppose this is "news" to him?
Good conservative champion David wouldn't be trying to start a *gasp* class-war now would he?!?!?!
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