> If you start your comparison in mid-2001, much of the rise of profits
> is due to (limited) economic recovery. Profits are quite pro-cyclical
> (and fell drastically from 2000 to 2001).
This gain in profits, though, is unprecedented, or nearly so. All the benefits of productivity growth have gone to profits and upper- bracket incomes - unlike the late 90s, when real wages rose for a few years.
Doug *************************
Oh yeah, another positive factor for the employing class is that they’ve been able to farm out (outsource) so much of their business to States where wages are kept really, really low by rulers’ laws and police. Increasing the rate of exploitation helps "the economy" a lot.
Best, Mike B)
Read "Penguins in Bondage": http://happystiletto.blogspot.com/
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