Wages have remained stagnant but worker productivity has more than doubled. How did this happen and why is it allowed?

Wages have remained stagnant but worker productivity has more than doubled. How did this happen and why is it allowed?

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Other urls found in this thread:

epi.org/blog/american-pay-and-productivity-for-typical-workers-still-not-growing-together/
americanactionforum.org/insight/debunking-a-myth-in-1-chart-wage-productivity-growth/
twitter.com/NSFWRedditImage

Don’t worry the wealth will trickle down soon. Also something about cheap iPhones making up for outsourcing.

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I was discussing this with my sister after SHE complained about high housing costs and low wages, so I mentioned how illegal aliens underbid Americans for low-skilled labor, and how this lowers wages, and she told me it was “terrible of [me] to blame illegal immigrants for the misdeeds of billionaires.” She also said there aren’t that many illegal aliens.

What the actual fuck. She’s a normie who has always been a good little true believer in whatever nonsense the people in power are pushing (whether it be the young earth creationism of the fundamentalist church we were raised in, or her new liberal bourgeois beliefs she has picked up in her education and career). How can people be so blind as not to realize that the presence of 30 million workers who cannot negotiate with employers for fear of deportation and are willing to accept much lower wages lowers the price of labor? It’s supply and demand!

How about technology.
In 1948 it took 10 workers 10 hours to dig a hole with shovels.
In 2008 it took 1 worker 1 hour to dig the same size hole with a back hoe.

Fuck that liar. I voted for him because I thought he would be the next Hitler but he betrayed us.

Yes, so that worker should receive 100 times the compensation for the same task since his productivity has increased 100 fold. He can dig 100 times as many holes and make 100 times as much money in the same time. So why is a single worker digging 100 holes only making as much as money as when he was digging like 40 holes in 1973?

What are “the billionaires” doing that lowers wages?

If I'm making 100 times the money with my hole digging machine, i'll offer some scrub 2x the money to dig the hole for me, while i get 98x the money for sitting at home and masterbating all day :)

Wages =/= total compensation =/= cost of employment
No one is getting paid like they used to because health care costs have blown up since the 70's along with the insurance to psy for it. If your total compensation goes up 8k (because productivity) and your health insurance increases in cost $7200 (because FDR's price control handout to his industrialist pals) you get a 800 dollar raise this year despite making ten times that. Compound that over a few decades and you get OP's chart.

But that same scrub will have other people willing to offer him 3x the money, and he will be stolen from you. And there will be people offering him up to 99x times the money, and keeping the 1% profit. If I and everyone else with a backhoe can afford to pay him 99x more to dig those 100 holes, we will.

You will only be able to pay him 2x the old wage if he is super poor, willing to accept it, and willing to accept poor working conditions for fear of deportation.

Technology is the reason for greater productivity. Humans are still lazy fucks.

1971 we also left the gold standard, started fractal lending, and had the start of the endless waves of low skill immigrants poor in over the border for 40 years lowering wages on the bottom and the Bushes/Obama's HB1 pushes start lowering wages in the middle and upper middle class areas with foreigners who just want to live in not a shithole for their work, destabilizing the labor poolsnon both ends

Adding women into the workplace did far worse damage then immigrants ever did. As far as productivity is concerned, our technology advancing is why it appears the workers are more productive.

Mass importation of cheap labor. Increased overhead due to higher taxes and regulation.

Real economic activity isn't profitable anymore, most money flows in investment scams, money printing, accounting tricks, government "magic"... So if you work in something real, you will never make enough money to compete with oscillating numbers on computer databases.

> worker productivity
It’s called a robot and it deserves the same pay and doesn’t need no man.

state

Why the fuck does HR get to choose what health insurance I get besides certain people's fetishism of the WW2 America's authoritarian command economy? Oh, I remember. It's so we can have a ridiculous payment scheme that hides how much most anything healthcare related costs so nobody knows how badly they're being screwed by the various cartels (doctors, hospitals, insurance, drugs, and more). It's a real clusterfuck of government sanctioned, anti-competitive horseshit designed to fuck citizens who don't get the government to give them some of the care they pay for.

Your sister is partly right. Sure the immigrants from 3rd world dumpster countries have fucked things up. But big businesses put pressure on politicians to allow it to happen. If there was any politician with integrity this would stop immediately. We cant compete with some spic or paki who is used to living in squalor then comes here and makes 50 bucks a day. That's luxury to them.

I’m fine with blaming the billionaires, but some of their methods for doing it are obvious and she’s denying the methods

user has an answer. Pic related

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its an increase in total productivity due to technology not of individual labourer, hence the people have to compete for mediocre jobs now. its that simple you idiot

>How did this happen and why is it allowed?
developed countries have resigned from tariffs and opened their economies.

Productivity and compensation used to rise lockstep. Why did technology increase from 1948 to 1973 not cause this?

because Computational automation as a replacement is different you dumbass, Computers literally murdered so many mundane jobs. At least before innovation used to mean more humans to tackle it

One the reasons for the gap is because deregulation and decline of collective bargaining and unions.

its simple, try to picture what desks and office area of Bank prior to computational automation, it needed so much people to tackle at tasks. now go to your local branch and see how many people are needed to keep the books correct

How did they beat the unions? I say scab labor is a big part of it (i.e. H1Bs and illegal aliens)

one reason not many people notice is how vast US simply is and it has different laws among the states, if your workers are giving you a fuss it might cost you but you can move facilities to a different state. There arent many nations you can pull this off.
What can Unions really do if factories can just shut down?

>Productivity and compensation used to rise lockstep. Why did technology increase from 1948 to 1973 not cause this?
Because only dumb cheerleaders of rich people want you to believe it's all about muh technology.

It's about TARIFFS. Developed economies, when they abandon tariffs, then export jobs to poorer countries and their native workers' salaries don't increase, because the capitalist can blackmail them, that they either accept low salary, or their job will be exported to China.

Union doesn't do you much good if they shutter the shop and move out of the country either. Thank goodness for the easing of international financial transactions so that London loans and NY insurance can build factories in SE Asia.

You're absolutely right as well. I've read a lot about productivity and pay lately. One of the reasons that is cited for the gap is also globalization.

Tariffs would stop that. Someone could move a company overseas but domestic companies would retain an advantage

globalism

Open borders

>Worker
You mean robots. Your local burger flipper hasn't suddenly become a master chef.

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Because wage-pay jobs outside of grocery and skilled blue-collar jobs like a plumber or electrician are not careers.

Mcdonalds isnt a career, that's a side hustle. Cotton picker isn't a career, that's a side hustle. Gas Station Clerk isnt a career, that's a side hustle. Senior living is not a career, that's a side hustle. These jobs were never meant to support a family.

No one's life is quality if life is dependant on a mcdonalds burger

Real careers are medicine, engineering, artist, they require a degree or at least some form of knowledge that not everyone has.

Perhaps you can give her the globalism perspective. Over 3 million jobs have shifted over seas because wages in many countries are one tenth or less of those paid here. As a result of this labor competition, USA companies cannot raise wages because if they do, their products cannot compete with imports. And even then, they are forced to manufacture off shore because even with lower domestic wages, they cannot compete. Either they go off shore or they go bankrupt. And labor unions haven’t a chance. How can workers organize and secure higher wages when companies to survive must already go off shore even with lower, nonunion wages?

And of course your sister likely does not think in terms of mathematical realities and thus no argument will breech the ideology of her social justice religion.

And, she has a valid point concerning the misdeed of the billionaires who are extracting wealth from the dying carcass of our producing economy rather than investing to increase productivity and economic value.

So, thinking this through, perhaps your argument can be to ask her to consider that both you and she are right. That the issues are not mutually exclusive. (Still won’t matter though because again, as a religion based of faith and emotions, social justice believers are about as inclined to change their minds as are deeply religious evangelical believers when confronted with facts that point to the contrary.)

Globalism and Stock Market/Share Holders demand for ever increasing profits.

Women in workforce = double supply of labour
Open borders = unlimited supply of labour
War on nuclear familiy = increased demand for housing and household goods
Redistribution to niggers = redistribution to competitive consumers = redistribution to corporations
Sexual liberalism = competitive consumption to deomonstrate fitness = redistribution to corporations
Literally every left wing cause over the past century has been to the benefit of global capital, which should've been obvious from the outset, as it was corporate media pushing these causes.

>And, she has a valid point concerning the misdeed of the billionaires who are extracting wealth from the dying carcass of our producing economy rather than investing to increase productivity and economic value.
the thing is i totally agree with her that wealthy elites are causing the problem... using illegal immigration, abuse of the H1B system, etc

Because woman started working so suddenly there were twice as many people leaving jobs. Women fuck everything f

Why should the gains go to the people digging holes and not the people who invent and build the technology?
>He can dig 100 times as many holes
This isn't just his work anymore. The people who designed the equipment also contributed and must be compensated. The people who built the equipment also contributed and must be compensated. The people who maintain the equipment also contributed and must be compensated. If, after paying this, the corporation is still making tons of profit, why don't the workers just leave and form their own corporation without the fatcat at the top, and pocket this for themselves? Either the people at the top are doing something of value that you aren't acconuting for, or the game is being rigged via regulation, but it's always the "anticapitalists" pushing for this regulation.

>What are the billionaires doing that lowers wages?
Dumb "social causes" that children are indoctrinated into thinking are a moral neccessity, but actually rig the game in their favour. Every leftist cause over the past century has had an increase in consumer demand or a increase in labour supply as an obvious logical conclusion.

kikes and the useful idiots that let them keep control

It's good if women do work, tough.

You’re a dumb faggot. Not everyone has the IQ or ability to work in one of the narrow fields that you consider a “career.”

Construction used to easily pay enough money to support a family but wages have dropped tremendously because of illegal immigration. People used to support families doing jobs like “clerk.” There has been a concerted effort to break up unions and bring in cheaper labor by the elites. The destruction of American manufacturing by disastrous free trade policies has also been a huge problem.

These things are fixable you idiot, don’t just shit all over people who are suffering economically because they don’t have a high enough IQ to do one of your meme careers

No its not.
There is no reason why a family of five shouldn't be able to have one income coming in, but still live a good standard of living and own a home.
Women brainwashed to work and get careers has been nothing but a disaster for every class except the elite.

DELET THIS GOYIM!

Notice how it says "typical worker"?

Please read how that chart was built and the data used to understand how retarded it is.

You can't compare current productivity with typical jobs wages because the productivity growth came mostly on new sectors.

Also "compensation" is a lie, this chart's methodology only accounts for wages, compensation also includes healthcare, dental, and a lot of things that are now added on salaries that weren't added 3 decades ago.

But now they're not dependent on some guy to have sex with anymore.

The phrase "side hustle" is implicitly nonwhite

>Twice
It's actually even worse than twice, because of the effect it has on children. "Gender equal" societies in which one partner works and the other takes care of children never last, because women refuse to marry men of equal or lesser status, making "househusbands" impossible. The only way to have a "gender equal" society that isn't ruined by women's hypergamy, is to have both parents working, which not only doubles the supply of labour, but also creates demand for consumption in the form of raising the children, both of which hurt the worker at the expense of corporations and the state. This in turn can be further exploited by using the fact that parents are detached from their children to more easily indoctrinate them via corrupting media and state schooling.

I hate you libertarian retards.
Healthcare costs have significantly gone up in the past years

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Posting in a Zero Hedge thread

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Again you're a fucking retard. Wages haven't moved.

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Capitalism will consume everything you hold dear. Capitalists don't care about you or your culture - all they see is money. A capitalist holds no specific political position; he only embraces the viewpoint which generates more profits. Why do you think that so many companies are now flying pride flags? They don't give a fuck about homosexuals one way or the other, they just want their money.

And? How does that contradict anything I said in my post you moron?

It reinforces it, if healthcare is increasingly added as compensation for working and healthcare is more expensive, then compensations are growing, sub room temperature IQ leaf.

I can explain this wizardry with one word. IMMIGRATION.

Start your own business, neighbor.

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I'm just trying to dispell your heritage foundation bullshit
epi.org/blog/american-pay-and-productivity-for-typical-workers-still-not-growing-together/

Sheep get shorn.
>indoctrination posing as education
>mass media acting as indoctrination 'booster shots
>psychological control techniques on a mass scale honed and refined
>boiling frogs
>Comfort and security used to keep any critical mass or tipping points being reached

I can also play this game
americanactionforum.org/insight/debunking-a-myth-in-1-chart-wage-productivity-growth/

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>wages and salaries are the same thing
>ancap fag
Color me shocked.

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My article addresses yours.....

A family of five requires one home, car, bills, etc.
Five families of one require five homes, cars, bills, etc.
There is a reason corporate media wanted dumb leftists to "deconstruct" the nuclear family. If they did this by presenting the economic consequences, nobody would have taken them seriously, but by presenting it as a war on "whiteness", suddenly ever leftist is on their side. It really goes to show the priorities of the left. Apparantly rampant consumerism and corporate rule is fine, provided it's marketed as "fuck white people".

Your article is written by Josh (((Bivens))) and insists that their "typical worker" concept is not totally biased when that's fucking retarded

>Start your own business, neighbor.
start something to scam boomers. They would fall for those virus scams, if you didn't use the words "needful" and "sir"

This retard thinks back hoes were rare in 1948 during the boom of American infrastructure.

Starts with "J" and ends with "Ews."

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>how did this happen and why is it allowed?
Jews user, Jews. Also, the Jewish immigration act of 1965.

prove

>productivity is higher but it's because there are more workers. Means everyone gets to take less.
>immigration lowered wages

Crony capitalism.

Wages have stagnated by the benefits that government forces businesses to give their employees have skyrocketed in the same period. People always post this graph but they never post an equivalent one that shows growth in benefits in the same time period. The government is forcing businesses to dole out wealth to employees in specific ways which means you have less choice about how you spend your money.

>So I did some homework. No indication yet of any magic change in the early 1970’s. :-) But it took only a few minutes to learn the graph is incorrect and highly misleading. It comes from the Economic Policy Institute (EPI), a union-backed think tank chaired by the president of the AFL-CIO. In order to make the claims that they do and to make the graph appear as it does they, among other things, (a) compare the pay of only some workers to the productivity of all employees and (b) use different measures of inflation with pay growth and productivity growth. Both those things create an artificial gap between pay and productivity. Once those things are corrected, one sees that pay and productivity have continued to track one another, just as they always have. Have certain workers’ pay moved more slowly than others? Of course, and it is precisely those whose productivity has advanced more slowly than others as the economy reflects increased value of some skill sets compared with others over time.

>compare the pay of only some workers to the productivity of all employees

Why are people still even entertaining this graph is beyond me

>Either the people at the top are doing something of value that you aren't acconuting for, or the game is being rigged via regulation

As a business owner I find that most employees think I do absolutely nothing of value to the company. When I'm the one who risked the capital to create jobs and give them living wages.

>I find that most employees think I do absolutely nothing of value to the company.
wow you're a retard, you know that as their boss you can fire them, yes?

she's right you know. paco and pabuelita wouldn't be here if harvey shekelstacker didn't invite them to work for 3 pesos an hour subsidized by welfare benefits off your back.
this is also correct. you are going to pay either way. either you pay up front and know your costs, or your pay after it gets filtered through 5 layers of bureaucracy all taking salaries out of your payment every paycheck cycle. it's a shitshow designed to trick people into staying asleep.

supply of doctors is artificially limited. you also have malpractice insurance. if a doctor makes 300k a year his mal ins is 100k. (((I wonder who that money goes to.))) that's why burgerstan increases exponentially.

no one on Jow Forums has even heard of malpractice insurance when it's the #2 reason healthcare costs are astronomical (#1 is the bureaucracy involved...all those paper pushers need to be paid. that's why you put 100k in and get back 60k in service, the bureaucracy is siphoning funds every step of the way.)

>she's right you know. paco and pabuelita wouldn't be here if harvey shekelstacker didn't invite them to work for 3 pesos an hour subsidized by welfare benefits off your back.
Yeah I have repeatedly said I agree with her that the billionaires are responsible, we just disagree that illegal aliens are a method they are using.

>but worker productivity has more than doubled.
That's not worker productivity. That's the rate of GROWTH of the output, not the output itself.

If you are broke and have $1 to your name, then get another dollar, your net worth has gone up a LOT. Do you have a lot of money? No. But the GROWTH of your money was high.

Also, it is for the output of the TOTAL ECONOMY, not per worker.

he didnt pay for the digging machine he is using, which is the core reason for his productivity increase.

You're also against a path to citizenship, right?

Punishing employers for hiring illegals and immigrants would be much better than just trying to shovel the immigrants out. It's like there's a hole in your boat and you're just focused on scooping water out instead of closing the hole first.