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Ernie Tedeschi observes that the distinction between labor and capital is clearer in the Nonfinancial Corporate Business sector. Sectoral and depreciation adjustments generally increase the reported labor share level and typically show flat or rising shares from 1973 to 2000.
However, Tedeschi notes that after 2000, the labor share in this sector has declined consistently.
Tedeschi has previously tracked wage and cost trends across U.S. industries. He found that grocery store margins fell to near 25-year lows in 2025, increasing pressure on household budgets. In another report, Tedeschi noted that lower-income workers reported faster nominal wage growth since the pre-pandemic period.