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Why the Gap Between Worker Pay and Productivity Is So Problematic
theatlantic.com ^ | Feb 25 2015, 7:30 AM ET | Gillian B. White

Posted on 02/25/2015 6:34:42 AM PST by ckilmer

One of the most frustrating parts of the sluggish recovery has been paltry wage gains for most workers. That's because even if the stock market is performing well, corporate profits are increasing, and home values are rising—one of the most direct and important ways to boost the financial health, and consumption, of the middle and lower class is through increases to worker's wages.

(Excerpt) Read more at theatlantic.com ...


TOPICS: Business/Economy; Government
KEYWORDS: pay; productivity
 

Productivity vs. Compensation


1 posted on 02/25/2015 6:34:42 AM PST by ckilmer
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To: ckilmer

some of this analysis I agree with. Some is liberal pap.

The other big thing that happened in the 1970’s that has drained money out of American pockets —is that USA started buying expensive foreign oil. Literally trillions of dollars have flowed overseas in the ensuing decades.


2 posted on 02/25/2015 6:37:15 AM PST by ckilmer (q)
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To: ckilmer

People are willing to put in 50 hours a week for a 40 hour pay check, which is stupid in my opinion, but that is just me


3 posted on 02/25/2015 6:50:47 AM PST by MadIsh32 (In order to be pro-market, sometimes you must be anti-big business)
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To: ckilmer

The lower line on the graph levels off with women joining the workforce in huge numbers. I’m sure that this flat line won’t go up with an influx of millions of third world “workers”.


4 posted on 02/25/2015 6:53:48 AM PST by cdcdawg
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To: ckilmer
Where's the evidence that these productivity gains have come from anything workers do, rather than increased automation and better information flow? One might be able to make an argument that a few smart IT people delivered huge gains to a given company, but - if anything - the average worker (thanks to government education) has become a whole lot dumber and less able to operate independently since 1973. I wouldn't be surprised if real worker productivity has actually dropped sharply. Thus, the flat-lining of wages represents an over-compensation for actual performance.
5 posted on 02/25/2015 7:00:19 AM PST by Mr. Jeeves (Heteropatriarchal Capitalist)
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To: ckilmer

uhhh....cause it’s going to convince a clear majority of American voters to elect a Communist?


6 posted on 02/25/2015 7:52:28 AM PST by Buckeye McFrog
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