Yesterday, EconomPic detailed the slow growth in real personal income over the latest decade. Below we break down the contribution of real per capita disposable personal income over each of the past six decades.
Things to note:
1) Compensation grew by at least $2000 per capita in real terms each decade since 1960 (more than $4000 in the 90's), but only ~$350 in the 00's
2) 95% of real per capita personal income in the 00's were current transfer receipts (unemployment / welfare benefits) and a decline in taxes paid (wonder why our nation's debt has spiked?)
Source: BEA
1) Compensation grew by at least $2000 per capita in real terms each decade since 1960 (more than $4000 in the 90's), but only ~$350 in the 00's
2) 95% of real per capita personal income in the 00's were current transfer receipts (unemployment / welfare benefits) and a decline in taxes paid (wonder why our nation's debt has spiked?)
Source: BEA
Would be interesting to compare the growth (lack of growth) in compensation for those decades against inflation over those same time periods.
ReplyDeletethis is in real terms (i.e. it already accounts for that).
ReplyDeleteThe #s on the left scale make sense to me as $ thousands, not $ billions. billions per capita?
ReplyDelete