Monday, August 12, 2013

Low Paying Job Nonsense (and Sense)

The story that people tell is that most new jobs are low paying:

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That much is true.

But, the other implication you’re supposed to get from this, given that it uses only the last 3 years of data, is that this is a new phenomenon.

That is nonsense. The truth is that most job have always been low paying:

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What is a new phenomenon is the widening gap between the average pay in low wage industries and high wage industries. For this, I recommend that you go to the source article at the Federal Reserve Bank of Atlanta’s Macroblog, and click on the bottom image.

Via Marginal Revolution.

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