I like to say policy objectives are invisible ink and policy results are the coloured glasses that expose them. You see, policy makers always tell us how they design and implement policies targeted at middle class America. However, time after time after time, the only segment of society that fails to realize any benefit from any policy is middle class America. Yet for some mind boggling reason we continue to allow these policy makers to carry on with this skullduggery. The following chart really tells you everything you need to know about economic policy objectives for the past three decades.
The above chart depicts Wall Street real profits (black line), non-financial corporate real profits (red line) and real median weekly wages and salaries (blue line) all indexed back to 1982 (this is an important period where antitrust policies broke down under the Reagan admin).
What we find is that while median wages and salaries have increased by a paltry 9% over the past 35 years, corporate income is up 250% and Wall Street income is up almost 800%. And so over the decades this story line about policies targeting the middle class is absolutely, in every way, a total and complete fabrication. This chart doesn’t happen by accident nor could it be the result of honest mistakes.
The above results expose the hidden agenda perpetrated by Congress and the Fed. The American middle class is a patsy in a system designed to do exactly what it has done. International trade agreements and excessive money printing do help Wall Street and Corporate America but do not help the middle class. This is made absolutely clear in the above chart. And if you are one of those typically shallow regurgitators of the theories you’ve been told, well tell it to the facts above.