Real earnings have declined across most job sectors since the Great Recession. Now, real wages are about the same level as they were in December 2005, highlighting the slow growth of the economy. This has been referred to as a “lost decade” for workers, says Kevin G. Hall of McClatchy Newspapers.

Why?

1. Federal Reserve has tamed inflation.

2. It is possible that the decline in labor unions have reduced increases in wages.

3. Increase in pay for office and administrative workers may indicate labor unions missed the boat on a possible new constituency.

4. Productivity has improved through automation.

5. Depressed labor market exists where more people are looking for fewer jobs and are willing to take less pay.

Consumption is considered a better measure of inequality and since 1970 consumptions tables show very little inequality. Also, low income purchasing power has increased, most likely the result of government transfer programs.