America’s Cost-of-Living Crisis Is Really a Pay Crisis

The article argues that America's cost-of-living crisis is primarily a pay crisis, stemming from stagnant wage growth for most Americans over the past 45 years. Between 1979 and 2019, while the economy's productivity grew by 73%, middle-class wages rose only about 23%. This imbalance, driven by corporate strategies favoring shareholder returns and the erosion of labor protections, means price increases hit households harder. The article suggests solutions like full employment, which saw wages at the bottom grow faster during 2021-2023, and raising minimum wages, noting that 20 states currently have no binding state minimum wage above the federal $7.25. Voters in Oklahoma will decide in June whether to raise their minimum wage to $15 an hour by 2030, and states like Minnesota and California are experimenting with sectoral boards to set pay standards.