Corporate Profits Soar But Pay Doesn’t

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Companies are making more, but their employees aren't.

CNN reports…

In the third quarter, corporate earnings were $1.75 trillion, up 18.6% from a year ago, according to last week’s gross domestic product report. That took after-tax profits to their greatest percentage of GDP in history.

But the record profits come at the same time that workers’ wages have fallen to their lowest-ever share of GDP.

An economist quoted in the story says “it’s not because bad capitalists are keeping all the money.” He thinks businesses that pay more have moved overseas or collapsed.

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