True or False? Inflation devalues wages.

Source?

 

Your retarded ideological beliefs aren't going to persuade me. Because unfortunately for you, the data does not back your claim.

 

you don't seem to realize that he wants the whole financial system to crash and burn

and in the long term, deflation isn't really good for anyone


Death and Taxes, Including Inflation: the Public versus Economists

Economists generally believe that deflation is a problem in a modern economy because it may aggravate recessions and lead to a deflationary spiral.

http://econjwatch.org/articles/death-and-taxes-including-inflation-the-public-versus-economists

 

Investor's Business Daily: http://news.investors.com/092512-626958-household-income-down-82-under-president-obama.aspx

 

1) Median not average
2) Household income not wages
3) Real not actual.

 

yea, it's 1.7% for 2012



http://www.usinflationcalculator.com/inflation/current-inflation-rates/

 

Clarification gladly accepted. Still lousy news.

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Ummm yeah sure we'll go with your anonymous chart over Investor's Business Daily.

ROFLMAO!!

 

Anonymous chart??

ROFLMAO!!!!

 

That was all fine an well if you had money to invest but the majority of us were trying to get by from week to week with nothing left at the end of each week. Today I would have the money to invest but only in something that's tangable. And, NO, I don't think we have learned a thing.

 

My bad. OK, we'll call it "Fred". Happy now?

 

The data tells a different story. We have had the longest period of controlled inflation in the history of America... almost 30 consecutive years of between 0-5% inflation. Seems like we learned something.



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Yes, you should get used to FRED...

It has a wealth of actual economic data so that you can learn the fallacies in your economic knowledge.

http://research.stlouisfed.org/fred2/

 

Who's bragging??? I'm pointing out that wages have NOT keep up with inflation. There was no brag there, just a complaint. I'm still scratching my head how you could read into what I said as a brag???

 

It may never heat up...we may be in a permanent bog. I think the wizards of economic smarts on the progressive left were praying the hysteria surrounding the mythical Anthropomorphic Global Warming was going to inflate the next economic bubble and resultant tax revenue (so they could keep the unsustainable entitlement / welfare state plates spinning in the air a little longer). But that's a bust.

Ah...but what do I know..

 

I was referring to your statement about gold prices. You obviously didn't get it.

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Your opinion is not good enough for me. Time to start bringing in help because you are slacking.

 

If it was not also due to inflation familys would be WAY ahead of where they were back in the 50's. My parents were buying a 6 bedroom house on over 50 acers at the time. Try that today on a two person income let alone a millworkers pay.

Unions did start working for themselves rather than the men, haven't seen one worth it's salt since 1969.

 

I know what you were refering to but like I said, I WASN'T bragging, I was COMPLAINING!!! The average workers of to day makes a little over 60% (buying power) as to what they did in 56'.

 

How do you figure?

The average home today is much bigger than it was 50 years ago, and much more complicated (central AC, heating, electricity, internet, better and more appliances, etc.

There are a lot of union practices I don't like. But they do have the power to leverage better salaries and benefits for the workers.

 

And I couldn't agree with you more.

 

Where are you getting these numbers from? And anyone can live like someone in 1956 with the median income of 2013. But unfortunately, everyone these days wants things like cell phones, computers, internet, gym memberships, cars, retirement, healthcare, etc, etc. If you want to live a 1956 lifestyle, go live it. It's really easy and affordable.

 

Hummmmmmmmmmm...., Like I said, my parents were buying a 3,500 sq. ft. house with 6 bedrooms, hardwood floors that looked like the floors at the school gym, Large formal dinning room, Office study, a large barn, 2 - 20'X50' chicken houses, orchard, 5 acres of old growth trees, 10 acres of doghair (trees 20 foot and under), and over 30 acres of cleared land. Think you can do that today with 2 incomes working in a rural area??

 

Average wage:
1956 3,532.36
2011 42,979.61
Percent change: 1,116%.
http://www.ssa.gov/oact/cola/AWI.html#Series

Inflation increase from 1956 to 2011: 726.98%.
Inflation value in 2011 of 1956 salary: $29,211.97
http://www.bls.gov/data/inflation_calculator.htm

Percent change in purchasing power: 47%.

There has been a 47% increase in relative purchasing power of the average wage. The increase in median household income would be even greater.

 

Depends. You're story is anecdotal. Most homes today are larger than by twofold than their 1950s counterpart, so your parent's were the exception, not the rule.

 

Funny you should say that, Akp. I'm getting my figures on what my father made at the time from having been there. Cell phones, computers, and the internet of course were science fiction in that day and age. But we did have 4 cars. We had healthcare when we needed it but didn't run to the hospital or Doctor every time we had a runny nose. I'm just pointing out that you ideas about how inflation hasn't hurt the working people of this nation are all wet. It HAS. I lived through it.

 

Your anecdotal evidence is not enough. I have personally seen the effects of rising wages and income throughout my life and my families and I definitely have a much higher standard of living with my income than my dad did in 1956. Not even close. So anecdotal evidence is not the proper way to understand macroeconomics. Probably way so few people understand it. They think the entire world works the way their lives do.