It’s a mystery. The U.S. economy seems strong. Since the nadir of the Great Recession, employers have added about 19 million workers. The unemployment rate is 4 percent, near the lowest level since 2000. By standard economic theory, the strong demand for labor should be pushing up wages. But that isn’t happening. Wage gains of 2.7 percent roughly match inflation.And no one really knows why.
"Wages Aren’t Rising. These Theories Could Explain Why." is from the July 11, 2018 Opinion section of The Washington Post. It was written by Robert J. Samuelson and narrated by Sam Scholl.