Are you better off than you were three years ago, at the beginning of the Obama recovery? The NY Times says, probably not:
Americans nearing retirement age have suffered disproportionately after the financial crisis: along with the declining value of their homes, which were intended to cushion their final years, their incomes have fallen sharply.
The typical household income for people age 55 to 64 years old is almost 10 percent less in today’s dollars than it was when the recovery officially began three years ago, according to a new report from Sentier Research, a data analysis company that specializes in demographic and income data.
Across the country, in almost every demographic, Americans earn less today than they did in June 2009, when the recovery technically started. As of June, the median household income for all Americans was $50,964, or 4.8 percent lower than its level three years earlier, when the inflation-adjusted median income was $53,508.
However, the WaPo notes that the pain has not been evenly shared by sector:
Households led by the self-employed saw their income drop 9.4 percent, to $66,752, the report said. Households headed by private-sector employees saw wages drop by 4.5 percent, to $63,800, and households led by government workers saw median income decline by 3.5 percent, to $77,998, the report said.
Government workers, on average, are better educated than private-sector workers, which could help explain their higher wage levels, Green said.
Question: What about the Republicans saying that you're blaming the Europeans for the failures of your own policies?
President Obama: The truth of the matter is that, as I said, we created 4.3 million jobs over the last 27 months, over 800,000 just this year alone.
The private sector is doing fine. Where we're seeing weaknesses in our economy have to do with state and local government. Oftentimes cuts initiated by, you know, Governors or mayors who are not getting the kind of help that they have in the past from the federal government and who don't have the same kind of flexibility as the federal government in dealing with fewer revenues coming in.
And so, you know, if Republicans want to be helpful, if they really want to move forward and put people back to work, what they should be thinking about is how do we help state and local governments and how do we help the construction industry? Because the recipes that they're promoting are basically the kinds of policies that would add weakness to the -- to the economy, would result in further layoffs, would not provide relief in the housing market, and would result, I think most economists estimate, in lower growth and fewer jobs, not more.
These reports are coming from Sentier Research. heir latest report is available for $25 but last month's report, which describes their methodology and foreshadows their results, is free.
I DEPLORE THESE FALSE EQUIVALENCIES: ABC News delivers a 'gotcha' so phony they quit mid-story:
Mitt Romney Says Big Business ‘Doing Fine’ After Criticizing Obama for Similar Remarks
Sure, if the "private sector", which includes the workers therein, equals "big business" shareholders. Let's press on:
HOPKINS, Minn. – Mitt Romney tonight said that big businesses are “doing fine,” using similar language that the presumptive nominee has hammered President Obama for using to describe the private sector earlier this year.
“I’m going to champion small business. We’ve got to make it easier for small businesses. Big business is doing fine in many places – they get the loans they need, they can deal with all the regulation,” said Romney, speaking to a group of supporters at a private fundraiser in Minnesota this evening.
Romney then added that the reason that big businesses are “doing fine in many places” is because they are able to invest their money in “tax havens.”
“They know how to find ways to get through the tax code, save money by putting various things in the places where there are low tax havens around the world for their businesses,” said Romney. “But small business is getting crushed.”
This is newsworthy? Let's cut back to the WaPo coverage of declining household incomes:
Corporate profits, meanwhile, have recovered. But with workers producing more on the job, the gains in economic output have not been matched by new hiring.
“The character of the recovery has been one that has benefited businesses more than it has workers,” said Gary Burtless, a Brookings Institution economist.
The S&P 500 has more than doubled from the spring 2009 lows and (at 1400) is around the levels seen in April 2008 (getting back to the Oct 2007 level of 1565 would be record territory).