Economics is basically the ideology of the upper class.. it is not a science, it is ideology.. I would suspect that this cost disease thing is driven in large part by modern monetary theory and increased liquidity through printing money, driving up asset prices and causing inflation by financial speculation.. the increase in asset prices such as housing causes the increase in wages.. the upper class would have us believe that the wage increase causes inflation. Maybe in the past but in the last 100 years or so and increasingly in the last 20 or so inflation and the cost disease that is basically described in this linked article above is probably driven mainly by inflation caused by asset price increases caused by financial speculation fueled by hyper liquidity...
Edit.. those who vote me down take a look at inflation before the rise of central banks.. yes of course there were periods of inflation but then they were followed by periods of deflation.. this evidence of that take a look at the wages for an average man from 1700s all the way through the early 1900s it was basically the same.. whoever wants to central banks came into play inflation crept upward and upward
Edit.. those who vote me down take a look at inflation before the rise of central banks.. yes of course there were periods of inflation but then they were followed by periods of deflation.. this evidence of that take a look at the wages for an average man from 1700s all the way through the early 1900s it was basically the same.. whoever wants to central banks came into play inflation crept upward and upward