Wednesday, November 19, 2008

Are household incomes falling?


The national media types are always quick to point out how the country's household incomes have remained flat over the past twenty years or so.

There's a reason for that and it's not that the middle class worker is suffering; it is the deterioration of households in general.

Check out the graphs to the right (HT Greg Mankiw).

One of the reasons for declining household income is the reduction of the number of two wage earner families in the US.

Read the whole report from the Minneapolis Fed here.

I think anyone who's been divorced will concur with this one.

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