Drudge Retort: The Other Side of the News
Friday, June 15, 2018

"The GDPNow model estimate for real GDP growth (seasonally adjusted annual rate) in the second quarter of 2018 is 4.8 percent on June 14, up from 4.6 percent on June 8," the Federal Reserve Bank of Atlanta said in its latest GDPNow report on Thursday.

Advertisement

Advertisement

More

Comments

Admin's note: Participants in this discussion must follow the site's moderation policy. Profanity will be filtered. Abusive conduct is not allowed.

That means less than nothing unless wages rise, which they aren't.

"Overall, getting to extremely low unemployment hasn't managed to propel wage growth to where it should be in order to meaningfully improve workers' standards of living.

Related: There are now more job openings than workers to fill them

That mismatch has puzzled economists, although they have proposed some possible explanations: The decline of worker bargaining power, the erosion of labor standards and the high cost of living in big cities that keeps people from moving there for better jobs.

Meanwhile, unemployment is expected to keep dropping through the end of this year, meaning it's not hard to find a job -- it's just hard to find one that covers all the bills."
money.cnn.com

All this growth is doing now is fueling inflation which hurts workers.

#1 | Posted by 726 at 2018-06-15 10:02 AM | Reply

#1 | Posted by 726 at 2018-06-15 10:02 AM
Average hourly earning for production and non-supervisory employees continues to grow. It grew slowly post recession, but has picked up pace recently.
fred.stlouisfed.org

#2 | Posted by Avigdore at 2018-06-15 11:12 AM | Reply

www.zerohedge.com

Consumer Prices Surge At Fastest Pace Since 2011, Real Wage Growth Slumps

Last night's Singaporean show was the prelude to the rest of the week's real action - central banks - and nothing drives The Fed more than inflation anxiety as exhibited by Core CPI this morning... and it printed hot.

For the 32nd consecutive month, the consensus estimate on the street was +0.2% MoM - and expectations were met - pushing the headline CPI to +2.8% YoY (as expected) - the highest since December 2011...

The index for all items less food and energy rose 2.2 percent over the past 12 months, after increasing 2.1 percent in the 12 months ending March and April, and the medical care index rose 2.4 percent. Indexes that declined over the past 12 months include those for new vehicles, airline fares, used cars and trucks, and communication.

And while rent inflation remained the same, shelter index rose 3.5 percent over the last 12 months

And while prices are soaring, real wage growth is slumping...

#3 | Posted by 726 at 2018-06-15 11:54 AM | Reply | Newsworthy 1

The tax cuts as the economy is booming is like feeding a diabetic pure sugar. Inflation is taking off, erasing any wage gains and middle class tax cuts.

But this is what the GOP wanted, to pay off their donors no matter how many wage earners it hurts.

#4 | Posted by 726 at 2018-06-15 11:59 AM | Reply

When this sugar high comes crashing down the government will be too deep in trillion dollar deficits to apply any stimulus.

#5 | Posted by 726 at 2018-06-15 12:00 PM | Reply

This fed raising the interest rates are one of the tools necessary to combat the eventual recession.

#6 | Posted by Avigdore at 2018-06-15 12:28 PM | Reply

www.zerohedge.com

#3 | POSTED BY 726 AT 2018-06-15 11:54 AM

I love how the DR Left will link to a site that they regularly excoriate when it fits the narrative that Priorities USA wants them to push.

Tyler Durden indeed.

#7 | Posted by Rightocenter at 2018-06-16 02:22 PM | Reply

Wow. is this country really going down the s****** like you libs claim?

#8 | Posted by Sniper at 2018-06-17 09:54 AM | Reply

#5 | Posted by 726

Looks like you have taken your daily dose of vinegar this morning.

#9 | Posted by Sniper at 2018-06-17 09:56 AM | Reply

I won't link to any web site, I'll just say that claims of wages rising are --------. I can go to the gas station, the grocery store, talk to my friends about their rent and claims that we are not in an infaltionary ere is garbage. Ridiculous. YOu can believe it if you want but my wallet will contradict you and win the argment stupid.

#10 | Posted by danni at 2018-06-18 09:08 AM | Reply

If GDP is rising and wages aren't....then where is the money coming from?

#11 | Posted by eberly at 2018-06-18 09:26 AM | Reply

Comments are closed for this entry.

Home | Breaking News | Comments | User Blogs | Stats | Back Page | RSS Feed | RSS Spec | DMCA Compliance | Privacy | Copyright 2018 World Readable

Drudge Retort