Real wage decline a concern in 2006 election

I also read at the Bureau of Labor Statistics that real wages are down for all Americans $1600 since the day Bush took office.

I guess he did a "heck of a job."

Real personal income, and real total compensation are both up.

Wages are down after CPI adjustment mostly because compensation has shifted away from wages. Also its possible that the CPI overstates inflation.

http://www.siliconinvestor.com/readmsg.aspx?msgid=22830367

http://www.siliconinvestor.com/readmsg.aspx?msgid=22814175

http://www.tcsdaily.com/article.aspx?id=010606H

https://bea.gov/bea/newsrel/gdpnewsrelease.htm

http://www.prospect.org/weblog/rosegraph1.jpg

"2nd Best Factoid of the Day: The latest data from the IRS indicate that the share of income claimed by the wealthiest 1%, 5%, and 10% of earners is down, not up, since 2000. Even the millionaires, those in the top 0.5% of income, have seen their share of the nation's total income fall to 15% in 2004, from 17% in 2000. What's more, the top sliver (i.e. the group that includes just one earner in 1000) now pays 4 times more in total taxes than do all Americans in the entire bottom 50 percent. These are the uncensored facts. -Stephen Moore, The Wall Street Journal "

http://kudlowsmoneypolitics.blogspot.com/2006/09/best-factoid-of-day-we-believe-that.html

You're an unusual one for me to be questioning, Tim. But I've always gone on the assumption that CPI UNDERSTATES rather than overstates inflation. It is computed by the gov't, an d the gov't has good reason to want smaller numbers. They are more politically acceptable. And many gov't payouts, such as social security pensions, are tied to the CPI. And, as your links mention, the CPI is a hodgepodged cookbook of a composite number that is easily subject to manipulation.

I have used The CRB index as an indication of inflation for years simply for this reason. The prices of gold and oil can also be considered. These at least are not quite as subject to gov't wishful thinkng and more to market dorces, although they do fall well short of including all the items a hypothetical average family will purchase.