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Labor share measurement issues persist after 2000, Arin Dube notes

Labor share measurement issues persist after 2000, Arin Dube notes
Labor share drops notably after 2000

Arin Dube, industry influencer, draws attention to the ongoing decline in labor share even when accounting for depreciation. According to Dube, although the net-of-depreciation labor share is higher than the standard measure, it still exhibits a sharp drop after 2000.

Dube highlights that measuring labor share is complicated by factors such as depreciation, which can affect the interpretation of inequality trends.

Dube previously cited an unmistakable decline in the labor share of income in the U.S. since 2000. He has also observed that wage growth from job changes has rebounded, even as job switching rates remain subdued. These observations add context to ongoing debates around labor’s share in the economy.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.

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