The biggest economic story of our times isn’t about supply and demand. It’s about institutions and politics. It’s about power.
The median annual earnings of full-time wage and salaried workers in 1979, in today’s dollars, was $43,680. The median earnings in 2018 was $45,708. If between 1979 and 2018, the American economy almost tripled in size, so where did the gains go? Most went to the top.
Now this is broadly known, but there is less certainty about why.