After a surprisingly contentious Democratic debate last week, it’s clear that few of the so-called “moderate” candidates are ready to take on Sen. Bernie Sanders and his message of radical economic change. For the rest of the country, this means that the vilification of billionaires and big business that has fueled Sanders’ campaign is likely to continue for the foreseeable future. But despite the senator’s frequent and colorful diatribes, the average American family is doing well in today’s economy and pointing that out might just deflate a campaign that has largely succeeded on hot air.
The U.S. economy has expanded uninterrupted for more than 10 years now and the unemployment rate is the lowest it’s been in almost 50 years. The share of workers between the ages of 25 and 54 with a job is at its highest level since 2001 — suggesting that the growing economy and low unemployment rate are actually pulling workers off the sidelines and getting them back into the labor market. As new businesses and jobs are created, employers are having trouble filling job openings quickly. That increased competition for labor among employers means that just as job opportunities are increasing, wages are as well.
While wages are up across the board, workers at the lower end of the wage scale have seen their wages rise more than those with higher-paying jobs. According to the Federal Reserve Bank of Atlanta, the bottom 25 percent of wage earners rose by 4.5 percent between November 2018 and November 2019. In the same period, the highest 25 percent of wage earners saw wages increase by 2.9 percent. There is always room for improvement, but the significance of the wage growth experienced by lower-wage workers shouldn’t be ignored.
Continue reading at Morning Consult.
Ben Wilterdink is the former Director of Programs at the Archbridge Institute. Follow him @bgwilterdink.
Economics of Flourishing
After a surprisingly contentious Democratic debate last week, it’s clear that few of the so-called “moderate” candidates are ready to take on Sen. Bernie Sanders and his message of radical economic change. For the rest of the country, this means that the vilification of billionaires and big business that has fueled Sanders’ campaign is likely to continue for the foreseeable future. But despite the senator’s frequent and colorful diatribes, the average American family is doing well in today’s economy and pointing that out might just deflate a campaign that has largely succeeded on hot air.
The U.S. economy has expanded uninterrupted for more than 10 years now and the unemployment rate is the lowest it’s been in almost 50 years. The share of workers between the ages of 25 and 54 with a job is at its highest level since 2001 — suggesting that the growing economy and low unemployment rate are actually pulling workers off the sidelines and getting them back into the labor market. As new businesses and jobs are created, employers are having trouble filling job openings quickly. That increased competition for labor among employers means that just as job opportunities are increasing, wages are as well.
While wages are up across the board, workers at the lower end of the wage scale have seen their wages rise more than those with higher-paying jobs. According to the Federal Reserve Bank of Atlanta, the bottom 25 percent of wage earners rose by 4.5 percent between November 2018 and November 2019. In the same period, the highest 25 percent of wage earners saw wages increase by 2.9 percent. There is always room for improvement, but the significance of the wage growth experienced by lower-wage workers shouldn’t be ignored.
Continue reading at Morning Consult.
Ben Wilterdink
Ben Wilterdink is the former Director of Programs at the Archbridge Institute. Follow him @bgwilterdink.
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