This entry was published on November 8, 2022 by Menzie Chinn.
The pattern in genuine typical weekly incomes looks various depending upon deflator.
Figure 1: Median weekly earnings, deflated by CPI (blue), deflated by Chained CPI seasonally adjusted (tan), both in logs, 2010Q4= 0. Chained CPI seasonally adjusted on regular monthly basis utilizing X-13/ X-11.
Using the CPI, real typical weekly incomes in 2022Q3 are slighly lower than they were pre-pandemic, while using the chained CPI, they were slighlty higher
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