Saturday :: Jun 16, 2018

SHOCKING: Wages Falling in Booming Economy

by paradox

In what has become a very depressing all-too-familiar story the Bureau of Labor Statistics posted hourly earning statistics yesterday, starkly revealing the failure of American capitalism in falling wages for “production and nonsupervisory” workers, 4/5ths of the American workforce.

An equally grave phenomena occurred in the “reporting” of this story in the Washington Post. In this space for truth and honesty the wage issue will be examined first, then the atrocious mangling and obfuscation of the truth by esteemed members of the American journalism corps.

Background: the American labor union as a force in the economy and wages has been crushed, since 1980 participation has dwindled to the point of having no effect for rising wages.

This has been a smashing, screaming disaster for the American worker, union participation at 30-40% was the only element of leverage and power available over management and ownership.

Without that leverage management has looted all the productivity gains since 1980 and done everything possible to keep wages low. Ah, the benevolence of the American employer, they’ll work you 60 hours a week, take your hand off in unsafe conditions, steal your wages, starve you in lousy housing and then lay you off if things don’t work out.

The only hope for the American worker and rising wages since 2008 have been capitalism labor market conditions, which in theory—broadly—meant that if the economy did well then more workers would be needed. Increased demand should mean competition for workers, thus rising wages to attract and keep workers in the expansion.

Why does this blog exist? Why, gentle inquisitive American soul, are you here? Why are you reading an amateur for the truth to this incredibly vital American wage issue when it should be instantly, simply provided by educated, experienced, polished professionals?

Because of the amazing, infuriating, clownish, unintelligent flop failure of it from the Washington Post I’m about to pick apart to prove it. By all the stars in the universe, falling wages are of screaming importance to all Americans, our economy exploits millions in furtive misery and depresses the rest, we’ve got to fix it, but we’ll never even have a chance with this obliteration of the truth below.

Since union leverage has been crushed the only leverage for workers is rising demand, it keeps going up since 2008 but wages keep going down. Broadly, that would have to mean there’s still too many workers, all that rising demand of the last 10 years plain wasn’t enough demand.

[Washington Post in italics]

But why is wage growth so tepid?

God we all need to know, why!?

This problem is not new: Slow wage growth bedeviled the Obama administration, as well.

What? What did you two just say, Jeff Stein and Andrew Van Dam? That’s history of the issue, in no way is that anything like answering the truth to the question you just asked!

Right that second I knew I was reading total American journalism failure—again. They sought the truth and deliberately failed for various reasons.

Economists broadly disagree about the cause of persistently weak wage growth, offering a variety of possible explanations.

Economists disagree because too many of them are paid by management and ownership, the truth means nothing to them as long as they’re paid to hide it, but okay, journalists.

Ernie Tedeschi, a former treasury official under President Barack Obama, said the unemployment rate may create a misleadingly positive impression of the health of the jobs market, given how many Americans dropped out of the labor force during the Great Recession.

This is very close to part of the truth, he means so many dropped out since 2008 they’re consistently weakening demand as they try to come back into the market.

Weaker union rights for workers may also be cutting into their ability to force pay increases from their bosses, said Jared Bernstein, who served as an economic adviser to Vice President Joe Biden.

Weaker union rights are irrelevant, the issue is moot with participation rates too low. Whatever, why did the journalists provide quotes here after that history flop non-answer?

According to their professional ethos they’re incapable of it, they’re supposed to be good enough to provide quotes or history to totally demonstrate the truth to the reader.

Trump officials pointed to what they called a strong growth in private business investment in the first quarter of 2018, after the tax law's passage, and expressed optimism that the law would translate into higher wages for workers in the near future.

Some Trump Whosis says investment from tax cuts will spur demand. In some magical mystical place and time, perhaps 40 years into the expansion, wages will rise.

The Washington Post and those journalists never answered the question—yet that is there total reason for professional existence, to plainly deliver the truth to questions they print right there themselves. Why can’t they?

The Washington Post is owned by rapacious capitalist Jeff Bezos, corporate journalists will not provide the truth that for tens of millions the American labor market is a cruel, exploitive joke of unending misery. There is no union leverage or market demand to raise wages. Capitalist Bezos has no problem with it, his journalists know it, and they won’t offend him by publishing it. Why, the truth could mean it might change the labor market.

For what it’s worth, the only real vehicle for wage growth short term is to dramatically rise the floor, forget Fight for 15, $20 is a real American minimum wage that would lift all boats.

Meantime we get massively rising depression and suicide rates, the journalists are asking why, right along as they ask why wage growth is so tepid. What could it possibly be?

paradox :: 6:14 AM :: Comments (0) :: Digg It!