Myerson on Circuit City Layoffs

Harold Myerson comments in today's Washington Post about Circuit City's recent payroll reduction program: Coincidentally, in the same week that Circuit City axed its clerks, an analysis of Internal Revenue Service data from 2005 that became available showed that the bottom 90 percent of Americans made less money that year than they had in 2004. According to a study by economists Emmanuel Saez of the University of California at Berkeley and Thomas Piketty of the Paris School of Economics, total reported income in the United States increased by 9 percent in 2005 over its level in 2004. All of that increase, however, came from the wealthiest 10 percent of Americans, and the wealthiest 1 percent experienced an increase of 14 percent. Among the remaining 90 percent, income actually decreased by 0.6 percent. And 2005, let us remember, wasn't a year of economic downturn. The American economy was humming along. It was only the American people who weren't doing very well.
back to Blog