Those who watch the news and are active on this site know how much people’s complaints about inflation have seriously affected Joe Biden’s standing, especially on economic matters. Poll and GOP Pol, after poll and GOP pol, tell us how Americans are so dissatisfied with Biden over inflation. Far too many believe the GOP is better at the economy, or worse, that Trump would be.
There is no doubt that prices have risen faster than what we are used to in such a short time. But here is the thing. Prices have always been rising, though more slowly. What has not been rising since Reagan’s supply side economics is average wages. The fed minimum wage has been stuck in the days when old men thought Brittney Spears was hot, and not insane, and every economic downturn was met with a demand that workers tighten their belts. Prices went up, but so slowly we barely noticed, except when buying those birthday cards for old folks that tell them what the price of cars, homes, eggs and gas were when they were born ( I will get to this below). Though there were times when certain goods would skyrocket, causing a brief panic, then come down, but not that much down, and we would move on with our lives. Mostly, we did not notice that average 3 percent price increase or shrinkage in our necessary goods.
Then, after the end of the pandemic, prices overall jumped faster than the standard 3 percent. I remember that CNN interview of the family talking about how buying their monthly five gallons of milk cost them something akin to a new mortgage; without CNN asking about their hundreds of dollars in new child credit, or checking the true price of milk. But you get the picture.
Now here is where I would talk about how wages have also jumped. How we were in a period of quitting for greener pastures, quiet quitting, pretending to quit but still being there, and refusing to come back to the office without a big bump in their salary. But that is not why I am writing.
My partner, who is better at me at organizing events, is putting together a 60th wedding anniversary party for her parents. When my parents had their 60th wedding anniversary I called the local Slovenian Hall and asked them to reserve a large room, order some sausage and sauerkraut and make sure ptica was on the dessert menu.
Darla is much more organized and meticulous. One of the things she ordered was a large card which listed all the things going on in 1964 when her parents married. As usual it listed the fashion choices — bell bottoms, velour cardigans and things with baubles attached. The best songs were all Beatles and something Frank Sinatra sang. Mary Poppins was in the theatres, which helped me get over Dumbo. There is a list of famous people born in 1964. They include Michelle Obama Keanu Reeves, but oddly not Bill from Portland. A serious omission. Yeah, Jeff Bezos is on there, but he’s a loser who has never done anything.
But here is where it gets interesting. These cards always include the prices of goods back then. In 1964 a stamp was 5 cents, a gallon of gas was 30 cents, a dozen eggs cost 54 cents, and a new house cost about 19,000.00. And the average income was $6,600.00.
Sixty years later the average income is a little over 60,000.00. That is about ten times the income of the average in 1964. So adding a zero to these prices, a stamp would be 50 cents (which it is), a gallon of gas would be about 3 bucks, which it is, a dozen eggs are actually down to 3 dollars, and, outside the major cities, 180,000 for a house is actually reasonable.
Truth is, when it comes to money and expenses, we are pretty much where we were as our parents or grandparents, or better, and in 1964 they were feeling pretty secure and comfortable.
The complaint is not that we don’t have the American Dream but that we are not rich and don’t live the Kardashian dream. And the media totally plays into this instead of focusing on what makes us comfortable and secure.