The mini recession continues

a reply to: Fools

What do you agree with* respect to wage growth and inflation growth?

Yes, the official measure of inflation, the CPI, has changed over the years, most recently in 2002. The chained CPI includes ~80,000 goods and services and is fungible to include substitution preferences among those indexed ‘basket of goods’ — it’s most reflective of the ‘true’ economy.

Chained CPI

*Bummer the chart in the OP explicitly states real average wages have increased.

a reply to: Bluntone22

On a side note I do disagree with the entertainment section of the chart. I dont believe people spent anywhere near the money on entertainment that they spend today.

I found the chart to be dubious when taxes were included as an expense — these types of analyses are conflating earning with disposable income preferences.

I’m with you, I find it hard to believe Americans spend less of their disposable income on entertainment; Americans spend a good deal less of their disposable income on transportation fuel than in the ‘70s, but yet, there is an entry for “transportation” asserting that Americans spend about the same...be nice to see the underlying data and understand the assumptions and methodology employed to compute the charted numbers/figures.

originally posted by: MarkOfTheV
a reply to: toysforadults

It's just a pretty graph. Any American can break free of these chains.

Don't be a statistic.

Don't get knocked up.

Don't be a middle man.

Don't F with the law.

Be content with what you have.

Live within your means.


A very basic set of parameters will keep most people out of trouble and living comfortably.

What you wrote seem pretty straight forward but seems impossible to follow for some (not me)

a reply to: BeefNoMeat

Numbers can be made to say anything.
I've looked over the financials of companies and there are all kinds of creative ways to make numbers tell a story...

And as you say, those charts show their conclusions but not what methods they used.

Pretty charts

www.oann.com...

November 20, 2018 (Reuters) – Shares of Micron Technology led falls for U.S. microchip producers on Tuesday, driven by a combination of concerns over slackening iPhone demand and a series of brokerage downgrades that reflect a growing technology stock selloff. Micron shares fell 7 percent in early trading after brokerage Baird Equity Research downgraded the stock to “underperform”, citing fall in memory chip prices. Weak demand for chips has been hurting the semiconductor stocks. Advanced Micro Devices Inc shares fell 7 percent, while those of Nvidia Corp shed 5.7 percent, taking an additional hit from one of the top...

originally posted by: JAGStorm
a reply to: Bluntone22

A house that's twice what they really need without the %20 down payment required in 1972.

I agree with everything you said, but the above is not necessarily true. In many parts of my town you aren't even legally allowed to build a small house. In the 1970's and before small houses were the norn. Many neighborhoods now don't even allow houses under 1500 sq ft.

Many older homes were 900, 1200 sq feet.
Many older homes are either already lived in, being flipped for much higher cost, in disrepair, or being torn down.
That doesn't leave a lot for young people. Either they live with mom and dad, they build a big house, or they buy a house with probably less than 20%.

You also can't compare the cost of house in 1972 vs today.

Back in those post World War II days, you would get a small house with a big plot of land, with the goal that you could add extensions at a later date. Many homes came in a prefabricated wooden design where modules could be added. Or the land could be used to grow your own vegetables. The choice was yours. But everyone was evenly distributed across the country as the majority lived in small towns and villages.

With new builds, you get a smaller plot of land because higher density = less expensive for services like road maintenance, sewers, water, electricity and garbage collection. Also, everyone wants to live in specific areas for a short commute or because it's the only land left. That also leads to smaller plot sizes. But in return, buyers want a bigger home to compensate for the loss of land space. So you get a monster home with a home cinema, kids play room, master bedroom, guest bedrooms, Jack and Jill bathrooms, sun-deck, en-suite shower bathrooms, separate area for the washer/dryer as well as Hollywood kitchen, living room and dining area. Not forgetting the double garage and driveway.

originally posted by: toysforadults

America's attitude towards home-ownership is changing. Only 48 percent of millennials (age 21-36) believe that buying a home is a good investment, according to the latest ValueInsured Modern Homebuyer Survey. That's a record low, according to the report, and a sharp contrast to the previous high of 77 percent just two years ago.

My assumption is that it's because they are lazy and won't work 16 hours a day 6 days a week (like the slaves did during slavery) so they can actually save money. I digress.

Anyway, back to Fox News.

I've never owned a property. No tech job has been stable enough for me to make a long term purchase or in my early days, the salaries weren't big enough to afford to buy anything - in the 1990's, £15K was an entry level salary for a graduate. Most tech job projects don't last more than two years, then it's onto another part of the country or another country altogether. I've been forced to change careers simply due to political interference by third parties (Fresh Talent Initiatives or a customer wants the most qualified/brightest/whoever knows the most to work on another field of tech)
Perhaps somewhere last Silicon Valley is the last refuge where it isn't necessary to change cities/states/countries.
Many cases, employers wait until you are tied down by debt, a property lease or a mortgage then jump you into
something dead end.

a reply to: Fools

They did the same in Australia - left out certain essentials to fudge the figures for political gain.

The trillions added to debt worldwide have a funny way of flowing back to the Rothschilds. The Bankers to the Central Banks.

After the financial Armageddon thats soon approaching we'll have that "3rd War". New debts raised to pay for reconstruction etc.

NWO here we come.

a reply to: Saiker

Nothing to do with quality and everything to do with concentration of wealth flowing to the 1%'ers

You can't have quality standards upkeep when there is insufficient hands on due to manufacturing being shipped to 3rd world countries. That and the illusion that Tech was the saviour and jobs would be everywhere.

This dismal wage growth is the result of intentional policy choices made on behalf of those with the most income, wealth, and political power. As explained below, these choices fall into five broad categories: the abandonment of full employment as a main objective of economic policymaking, declining union density, various labor market policies and business practices, policies that have allowed CEOs and finance executives to capture ever larger shares of economic growth, and globalization policies. Collectively, these policy decisions have shifted economic power away from low- and middle-wage workers and toward corporate owners and managers.


The fact that wage stagnation stems from intentional policy decisions means that fundamental economic forces did not make these trends inevitable. The income, wealth, and wages generated over the last generation were sufficient to provide broadly shared prosperity for all families. There will be substantial growth in income, wealth, and wages over the next few decades as well, and whether the vast majority appropriately benefits from this growth will depend entirely on the policy choices that will be made.

a reply to: TheConstruKctionofLight
Your joking. 90 percent of your purported one percenters started in their garages of their parents home. The major thing that prevented wage growth is regulations and unfair lobbyist ensuring competition is swiftly stomped out.


The key is stop whining, complaining begging for a bigger handout and work for it.

a reply to: Saiker

How can you talk about government corruption causing wage stagnation and passing legislation that artificially raises barrier entry (in assuming thats what you mean) and then in the mext sentence take your illogical point of view that its the individual that bears sole responsibility for the poor economic conditions the majority of the world's population faces?

Derp derp... Broken ideologue

a reply to: toysforadults

because the people begging for handouts is what makes government bloated and corrupt.

a reply to: Saiker

No people begging for handouts = begging for handouts

Begging for handouts does not end up with massive corporate fraud and lobbying

Everyone works hard. Most people work hard. Get that crap out of your head.

originally posted by: Saiker
a reply to: toysforadults

because the people begging for handouts is what makes government bloated and corrupt.

private corporations lobbying our officials is what makes govt bloated and corrupted.

Funny how with govt waste there are always big lobbyists that benefit from that waste or regulation.

You think the pelosi or rubios in govt are drafting laws, hell no they robo sign what the lobbyiest dream team of lawyers draft up for them

Lobbying and private corporations run the show not govt officials. The waste is designed to take money from the middle-class little savings they have and make good little consumers of those that dont have any money.

a reply to: interupt42

Don't worry start out as a bag boy and be CEO in ten years.

Just work hard anyone can do it

a reply to: toysforadults

Sh1t wont hit the fan till mid 2019 when the dems take the house . Not because they are dems but because the GOP and DNC will have each other to scape goat.

The economy sucks cause the dems wont let us do anythng
the economy sucks because the reps wont let us do anything

Nothing is more scary for both party than complete control , as it exposes their bs and makes them accountable.

a reply to: interupt42

Dude. Everything is peachy. More debt than ever in history and a consumer economy based on using as many earth resources as possible as fast as possible

Trust me its GREAT

But I agree 2019 is going to be fun. Lets see what happens on Friday.

originally posted by: toysforadults
a reply to: interupt42

Don't worry start out as a bag boy and be CEO in ten years.

Just work hard anyone can do it

Some can and some wont, i came hear as an immigrant with nothing and did pretty good for myself.

Part of that was due to my parents telling me and showing me to not let others or excuses stop me from getting ahead.

So it can be done. Is it easy no, does everyone get a fair equal shot hell no.
but you can also make your own shots