Tuesday, 05 March 2013 18:35
Wall Street Soars with Wealth as Wages Stagnate, Jobs Remain in a Slump
MARK KARLIN, EDITOR OF BUZZFLASH AT TRUTHOUT
A recent New York Times (NYT) business article confirms a commentary that BuzzFlash wrote, “A Tale of Two Economies: Skyrocketing Stock Market for the Rich, Devaluation of Work for the Rest,” in September of 2012
The March 4 NYT headline lays it out bluntly: “Recovery in U.S. Is Lifting Profits, but Not Adding Jobs.” But it’s really worse. It’s not just that the nation is at a relative plateau of joblessness. Even those who are employed are finding that their wages are not growing relative to the explosion in corporate profits.
The grim figures in terms of the working class speak for themselves in the NYT story:
As a percentage of national income, corporate profits stood at 14.2 percent in the third quarter of 2012, the largest share at any time since 1950, while the portion of income that went to employees was 61.7 percent, near its lowest point since 1966. In recent years, the shift has accelerated during the slow recovery that followed the financial crisis and ensuing recession of 2008 and 2009, said Dean Maki, chief United States economist at Barclays.