“Between the second quarter of 2009 and the fourth quarter of 2010, real national income in the U.S. increased by $528 billion. Pre-tax corporate profits by themselves had increased by $464 billion while aggregate real wages and salaries rose by only $7 billion or only .1%. Over this six quarter period, corporate profits captured 88% of the growth in real national income while aggregate wages and salaries accounted for only slightly more than 1% of the growth in real national income. …The absence of any positive share of national income growth due to wages and salaries received by American workers during the current economic recovery is historically unprecedented.”
Re: Since 2009, 88 Percent Of Income Growth Went To Corporate Profits, Just One Percent Went To Wages
Well we need to thank them for finally posting this in black and white. We are not getting out of this anytime soon if they don't start hiring, businesses are stagnant in hiring and as a result, what profits they make they keep, but they do no growth exercises, no new products, no new hires, so they will keep their money rather than invest. People aren't working, people aren't buying, it really is that simple. You can't solely blame business owners for not wanting to invest in new products or lines if they see now growth in their businesses, therefore they will hold on to all their cash. The fact that they just refuse to hire or increase the salaries of their employees I would think is a symptom, not necessarily an inside look at all employers.
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