According to the UN-related “International Labor Organization”
real global wages declined this year for the first time this century.
The report might be a step in the right direction but, unfortunately the ILO report shows
“The decomposition of the total wage bill, and its evolution, is shown for all wage employees and distinguishes between women and men. . . .”
IOW it breaks the matter down into wages among women and wages among men. Since that is how they think, the problem will likely continue. It should break the matter down into inflation among countries that print a lot of money and inflation in countries that don’t.
What can I say? The problem runs deep and must be corrected at the level of econ classes,
Here’s a question, how much has individual debt increased and/or a decline in savings over the past few years? That could explain the reason for the consistent job creation.
The blue line is consumer loans and credit card debt.
Last July it crossed over the red line which is personal savings
That’s bad.
That should not happen.
It is an indicator of inflation. It is also what causes inflation. (vicious cycle)
Hey one of the guys (or guests) on CNBC was actually referencing your chart this morning. Credit card debt and defaults have gone up considerably for the bottom 50%, while personal savings have gone down. Not good!
Yeah . . . I was on the wrong side of that trade this morning.
I normally don’t bet on the news. I usually content myself with waiting until I see which way the news will send the market and then invest in the time-tested hypothesis that “the market will continue that way. You missed the best part, but you can still catch the tail end of the momentum.”