wage stagnation

[Rjk]

IMG_20220406_114709.jpg

the stagnation in people's real wages since 2010 is unprecedented in modern times.
no wonder so many people are struggling currently.
Much of this was down to the ideological austerity that was brought in following the global financial crisis.

most other European countries have seen real wages increasing over the same period. Italy are similar to us and Greece worse but most better.

[JamesWales]

Re: wage stagnation

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the stagnation in people's real wages since 2010 is unprecedented in modern times.
no wonder so many people are struggling currently.
Much of this was down to the ideological austerity that was brought in following the global financial crisis.

most other European countries have seen real wages increasing over the same period. Italy are similar to us and Greece worse but most better.

You can see the stagnation started before 2010, and is largely connected to the Global Financial crisis, although without a doubt austerity doesnt aid wage growth.

Would be interesting to see the data you cite for other countries. Do you have it?

[Rjk]

Re: wage stagnation

You can see the stagnation started before 2010, and is largely connected to the Global Financial crisis, although without a doubt austerity doesnt aid wage growth.

Would be interesting to see the data you cite for other countries. Do you have it?

Yes it's on my phone so I'll post it later.

The initial downturn is obviously the global financial crisis, but most economists now agree that the austerity significantly delayed the recovery.

[JamesWales]

Re: wage stagnation

Yes it's on my phone so I'll post it later.

The initial downturn is obviously the global financial crisis, but most economists now agree that the austerity significantly delayed the recovery.

Yeah Im sure thats true. The general consensus tends to be that it was necessary to an extent but went on too long and cut too deep

[Doucas]

Re: wage stagnation

You can see the stagnation started before 2010,

Incredible. That's what you take from this.

[JamesWales]

Re: wage stagnation

Incredible. That's what you take from this.

It's about working out what is happening, why and solving it.

You are only interested if the answer is 'gEt tHe tOrIeS oUt', even if that is not the cause of the issue, which it quite possibly is not given that wage stagnation is somewhat of a western phenomena, happened before they were elected, has changed direction under them and the fall came on the back of an enormous global financial shock.

[Rjk]

Re: wage stagnation

Yeah Im sure thats true. The general consensus tends to be that it was necessary to an extent but went on too long and cut too deep

I don't think that is the general consensus now.

I think it WAS the prevailing opinion amongst economists at the time, but now they've seen how much harm it has done.

[Doucas]

Re: wage stagnation

It's about working out what is happening, why and solving it.

You are only interested if the answer is 'gEt tHe tOrIeS oUt', even if that is not the cause of the issue, which it quite possibly is not given that wage stagnation is somewhat of a western phenomena, happened before they were elected, has changed direction under them and the fall came on the back of an enormous global financial shock.

I mean it's ****ing obvious the cause. The wealthy control our politics and media, more billionaires than ever and the vast majority of newly generated wealth is going to them.

[JamesWales]

Re: wage stagnation

I mean it's ****ing obvious the cause. The wealthy control our politics and media, more billionaires than ever and the vast majority of newly generated wealth is going to them.

Except it's not obvious. Your brand of left-wing politics offers no more evidence than a religious belief in the afterlife. Where is it obvious? Our greatest media in the UK is paid for through the licence fee. We have a much lower ratio of billionaires than other countries (well outside the top 10 in europe https://en.wikipedia.org/wiki/List_o...f_billionaires) although the number no doubt does grow so does the number of millionaires and thousandanaires.

The top 1% of earners (rightly) pay as much in tax as everyone in the 50-90%th percentile.

https://commonslibrary.parliament.uk/research-briefings/cbp-8513/

I know you want what you say to be true, but it often isnt and thats why the problems never get solved to your satisfaction because youve been mislead as to how easy they are to solve.

[Wales-Bales]

Re: wage stagnation

You can see the stagnation started before 2010, and is largely connected to the Global Financial crisis, although without a doubt austerity doesnt aid wage growth.

Bingo, we have a winner! Is it time for a global financial reset?

[life on mars]

Re: wage stagnation

Real wages and productivity in the UK have stagnated since 2007, whereas employment has risen considerably. Many commentators lament the consequent failure of `living standards’ to rise at historical rates. But real GDP per capita has grown by more than 20% since 2000 despite the Great Recession, so aggregate living standards have in fact risen. This column resolves the apparent paradox

https://voxeu.org/article/paradox-stagnant-real-wages-yet-rising-living-standards-uk

[the other bob wilson]

Re: wage stagnation

Real wages and productivity in the UK have stagnated since 2007, whereas employment has risen considerably. Many commentators lament the consequent failure of `living standards’ to rise at historical rates. But real GDP per capita has grown by more than 20% since 2000 despite the Great Recession, so aggregate living standards have in fact risen. This column resolves the apparent paradox

https://voxeu.org/article/paradox-st...g-standards-uk

You'll be telling us to rejoice like Thatcher did in a minute :facepalm:

[life on mars]

Re: wage stagnation

You'll be telling us to rejoice like Thatcher did in a minute :facepalm:

Of course I wont , I work in a logistical company which in the main pays just over the minimum wage with prospects of rises based on ability and performance , they all have a fairly good standard of living , majority own cars and homes , take holidays , have mobile phone and TV subscription , go our for meals and socialise whcih is not cheap , you can see and hear this from their conversations of course they want more but compared when I first entered the poorly labour market they are doing okay in my humble view .

The only area Id say they struggle is paying into a private pension that would deliver in old age comparable value to the public sector .

[Doucas]

Re: wage stagnation

Real wages and productivity in the UK have stagnated since 2007, whereas employment has risen considerably. Many commentators lament the consequent failure of `living standards’ to rise at historical rates. But real GDP per capita has grown by more than 20% since 2000 despite the Great Recession, so aggregate living standards have in fact risen. This column resolves the apparent paradox

https://voxeu.org/article/paradox-st...g-standards-uk

I swear older generations don't understand inflation. It doesn't matter if GDP has gone up 20% because inflation has gone up by around 60% since 2000.

But GDP is also a terrible metric to measure living standards as I reckon most of that increase has gone to he wealthiest as its incredibly easy to make money if you have it already.

[Eric Cartman]

Re: wage stagnation

Real wages and productivity in the UK have stagnated since 2007, whereas employment has risen considerably. Many commentators lament the consequent failure of `living standards’ to rise at historical rates. But real GDP per capita has grown by more than 20% since 2000 despite the Great Recession, so aggregate living standards have in fact risen. This column resolves the apparent paradox

https://voxeu.org/article/paradox-st...g-standards-uk

If you can't see the gaping hole in that then i don't know what to say.