Kevin Bae

Non-Social in a Socially Networked World

Higher wages… less purchasing power. The Biden inflation legacy

I doubt the $15 minimum wage promoters will understand that you can get paid more but make less in the end. I’m sure the Biden administration will print up more money to pass out. That’ll solve the problem.

Real (after inflation) average hourly earnings have declined for seven consecutive months (overall 2%) and nine of the past 12 months. (See the nearby chart.) Contrast this to the year before the pandemic when wages rose broadly while inflation was in check. Real average hourly earnings increased 1.4% in the 12 months from August 2018 to July 2019 compared to a 1.3% decline over the last year.

Wall Street Journal