[aruanan]

but the purchasing power of each American over the past 76 years has increased by ????%? 1000%?

This is true. People now are able to purchase much more with their earnings from a hour of work than they were able to back in the 1950's. A dollar now may purchase less than a dollar did in the 1950s, but this would have relevance only if people now got the same number of dollars for a hour of work that they did in the 1950s.

[Leisler]

There are two things going on, increased productivity and other efficiencies, driving down real, fixed costs, and the devaluation of the dollar.

Both can occur at the same time.

But, people don’t just buy things, they invest. This is why the thrift/savings banks, and as a means of increasing wealth has been destroyed.

This is why people have been pushed to look for even more riskier investments and schemes, because simple, understandable, supposedly bedrock and age old methods of wealth, i.e., ‘saving up’ are laughable in a constant inflationary regime.

[org.whodat]

but this would have relevance only if people now got the same number of dollars for a hour of work that they did in the 1950s.

This would have a slight chance of correctness, if you had had a normal fixed labor supply. However, the politicians and big business, wanted cheap slave labor, therefore we have millions and millions of illegals and depressed wages. They rose but not at the the proper rate.

[aimhigh]

This is true. People now are able to purchase much more with their earnings

People are purchasing much more on credit.

[mulligan]

Sorry, that is not true. Many people’s pay check has not increased by 1000%. Inflation devalues the pay check and savings. In 1949, my pay was $60.00/week. My wife and I bought a house for $4,000.00, payments $40.00/month. How many people today receive $2,250/week with $1,500/month mortgage payments. That is about the same ratio. Or take $900 for a new car, which we paid. That is roughly 30% of my yearly pay. Take a $35,000 car price today and ratio. Would have earn over $110,000/year and that is close to the same ratio as mortgage example. Or take this example. My wife and I honeymooned in N.Y. City. Weeks bill at a top hotel for 7 days and nights, $70. Today,$3,4, 500/week? Still over $100,000/year. No, inflation has inflicted much damage to this Nation and the purchasing power of most is not even close to 76 years ago.