US Wages Share of GDI at 75 Year Low
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102 points
40 comments
October 26, 2026
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Discussion Highlights (5 comments)
BLKNSLVR
This is purely data with no narrative attached, which is sort of refreshing. The un-answered question is what is now eating up the percentage that was going to wages? What are the options? R&D, shareholders, lawyers, advertising/marketing/PR, share buy-backs, political lobbying ( cough bribery cough ), strategic reserves?
beebmam
Does this include income like RSUs?
zetazzed
One major element in this is the rise of earnings from pass-through income. Self-employed or nearly self-employed individuals who would have been counted as employees of their small businesses 30+ years ago increasingly take "profits" from their business rather than "wages," even though they are the same thing. The "profits" get tax advantages. This makes labor share decline despite dentists, consultants, etc. still doing the same amount of work and taking home the same pretax income. See: https://www.ericzwick.com/labshare/labshare.pdf
resters
<scarcasm>Wait till millions of robotaxis hit the streets, the graph will crater!</sarcasm>
v3ai
what happened in 1971 . com