"In the popular imagination workers’ share of the economic pie has room to grow at the expense of profits. But recent research suggests that labour’s share of the value created by firms has in fact been fairly stable in most rich countries during recent decades. We estimate that it has already risen by one percentage point on average in big rich countries during the pandemic. There may not be very much scope for further increases."
Wow, that's a truly obnoxious misdirect. Just use the word "stability" and hope nobody notices that stability is not the subject.
Profits in retail went up 40% during COVID -- and wages are up 1%. The scope for further wage increases therefore approaches 39%.
Obviously companies are going to continue to try to hold on to as much of that increase as possible for themselves, but here the Economist is pointing at the fact that wages have been artificially depressed, and pretending that that constitutes evidence that there's no room to raise them!
Wow, that's a truly obnoxious misdirect. Just use the word "stability" and hope nobody notices that stability is not the subject.
Profits in retail went up 40% during COVID -- and wages are up 1%. The scope for further wage increases therefore approaches 39%.
Obviously companies are going to continue to try to hold on to as much of that increase as possible for themselves, but here the Economist is pointing at the fact that wages have been artificially depressed, and pretending that that constitutes evidence that there's no room to raise them!
https://www.brookings.edu/essay/windfall-profits-and-deadly-...