| LIBertea | Date: Thursday, 2013/04/11, 5:49 PM | Message # 1 | DMCA |
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 The Mirror
Group: Administrators
Messages: 2142
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Profits Just Hit Another All-Time High, Wages Just Hit Another All-Time Low
by Henry Blodget at Business Insider
http://www.businessinsider.com/profits-at-high-wages-at-low-2013-4
"SNIP......................................................
1) Corporate profit margins just hit another all-time high. Companies are making more per dollar of sales than they ever have before. (And some people are still saying that companies are suffering from "too much regulation" and "too many taxes." Maybe little companies are, but big ones certainly aren't. What they're suffering from is a myopic obsession with short-term profits at the expense of long-term value creation).
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2) Wages as a percent of the economy just hit another all-time low. Why are corporate profits so high? One reason is that companies are paying employees less than they ever have as a share of GDP. And that, in turn, is one reason the economy is so weak: Those "wages" are represent spending power for consumers. And consumer spending is "revenue" for other companies. So the profit obsession is actually starving the rest of the economy of revenue growth.
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3) Fewer Americans are working than at any time in the past three decades. The other reason corporations are so profitable is that they don't employ as many Americans as they used to. As a result, the employment-to-population ratio has collapsed. We're back at 1980s levels now.
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In short, our current obsessed-with-profits philosophy is creating a country of a few million overlords and 300+ million serfs
......................................................SNIP"
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