The 2014 real median income number is 6.5 percent below its 2007, pre-crisis level. It is 7.2 percent below the number in 1999.
A middle-income American family, in other words, makes substantially less money in inflation-adjusted terms than it did 15 years ago. And there is no evidence that is reversing. Those families lost ground in 2014. And as we’ve reported previously, the data on wages in 2015 so far does not suggest there is a meaningful acceleration on the way.
A drop in the price of oil, though, has created a short-term drop in inflation numbers that may create a temporary bump in inflation-adjusted incomes for 2015 anyway.
The depressing data on middle-class wages is true across almost all groups based on race and age. (One exception is a 5.3 percent gain in median wages among Hispanics in 2014, though that is within the statistical margin of error and so may not be meaningful).
Madison’s property taxes continue to grow, far beyond incomes…