The missing piece from the economic recovery has finally materialized.
Median household income, adjusted for inflation, is now higher than it was before the recession that began at the end of 2007, according to new data published by Sentier Research. The typical family earned $57,153 in December, which is 4.3% higher than a year earlier and nearly 1% higher than December 2007. And month-to-month gains during the last several months have been the most rapid in the history of the survey, which dates to 2000. If the pace of growth continues in 2016, household incomes will hit a new record high well in advance of the November elections.
Despite widespread worries of another recession, data on jobs and income show that ordinary workers are increasingly better off. Famed billionaire businessman Warren Buffett said in his latest annual letter that “America’s economic magic remains alive and well." The numbers back him up.
Every month, Sentier calculates a household-income index, based on Census Bureau data, that allows it to measure the purchasing power of the typical family month-by-month, after adjusting for inflation. Here’s what the index looks like, with the red line representing household income (left scale) and the dark line representing the unempl
Median household income, adjusted for inflation, is now higher than it was before the recession that began at the end of 2007, according to new data published by Sentier Research. The typical family earned $57,153 in December, which is 4.3% higher than a year earlier and nearly 1% higher than December 2007. And month-to-month gains during the last several months have been the most rapid in the history of the survey, which dates to 2000. If the pace of growth continues in 2016, household incomes will hit a new record high well in advance of the November elections.
Despite widespread worries of another recession, data on jobs and income show that ordinary workers are increasingly better off. Famed billionaire businessman Warren Buffett said in his latest annual letter that “America’s economic magic remains alive and well." The numbers back him up.
Every month, Sentier calculates a household-income index, based on Census Bureau data, that allows it to measure the purchasing power of the typical family month-by-month, after adjusting for inflation. Here’s what the index looks like, with the red line representing household income (left scale) and the dark line representing the unempl