Americans battered by soaring inflation since President Biden took office have effectively suffered the steepest pay cut in a quarter-century, according to data released by the Federal Reserve.
Researchers for the Federal Reserve Bank of Dallas published new findings that calculated “real wages” — the effective income of workers when adjusted for inflation.
“We find that a majority of employed workers’ real (inflation-adjusted) wages have failed to keep up with inflation in the past year,” the researchers said. “For these workers, the median decline in real wages is a little more than 8.5%.”
“Taken together, these outcomes appear to be the most severe faced by employed workers over the past 25 years,” the researchers added.
Higher inflation can quickly erode the purchasing power of Americans if wage growth doesn’t match the increases. That means households face a difficult financial crunch when attempting to pay for daily necessities such as food, rent and gas.
In the span of just one decade, a inflation rate of 3% would reduce the purchasing power of $100 by 25%, according to calculations by investment management firm PIMCO.
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https://nypost.com/2022/10/06/americ...-under-biden/?
Americans saw ‘most severe’ pay cut in 25 years under Senile Biden and the libtards in DC
