Comparable measures narrow—but do not erase—the productivity-pay gap

AEI argues that the familiar chasm mixes measures: from 1929 to 2022, net productivity rose 656% while hourly compensation rose 637%. BLS likewise finds that using the same inflation gauge narrows the difference, but productivity still outpaced compensation in 83% of 183 industries studied from 1987 to 2015. Median pay has lagged since the early 1970s, so the aggregate comparison does not mean gains were evenly distributed.