By Fred Goldstein
The mass of the people fell back financially during the latest so-called capitalist recovery — even more than they did during the crisis of 2007 to 2009.
A Sentier Research LLC analysis of U.S. Census Bureau data shows that median household income in the U.S. fell 2.7 percent during the crisis that began in December 2007 and officially ended in June 2009. But household income fell 4.8 percent — almost double that — since the downturn through June 2012. The Sentier report was written by two former Census Bureau analysts.(bloomberg.com, Aug. 23)
The studies are silent on what is behind this drop in household income. The capitalists are recovering, but for the workers this is a long-term, endless jobless recovery. And the bosses are using high unemployment to attack workers’ wages and benefits. Caterpillar workers, for example, were just forced into taking a six-year wage freeze and big benefit givebacks in one of the greatest setbacks for the labor movement since the crisis began.