tag:blogger.com,1999:blog-7905729024656704090.post3584807579405308445..comments2024-03-16T10:51:29.949-04:00Comments on <center>Misunderstood Finance</center>: Illuminating Unintended Consequences Figure Mankiw MentionsMilton Rechthttp://www.blogger.com/profile/02488660316957122768noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-7905729024656704090.post-2751685204100229512012-08-08T00:15:31.357-04:002012-08-08T00:15:31.357-04:00Yes, I've read the book and am familiar with F...Yes, I've read the book and am familiar with Figure 1-6. I wasn't holding you responsible for Conard's numbers.<br /><br />My assumption is I do not understand the Figure (folks smarter then I, i.e Mankiw, Landsburg, and yourself, have all highlighted the Figure). So, I'm just looking for help/clarity.<br /><br />Do you believe Real Median Income for all workers has increased 3% from 1980 to 2005?Ryan68https://www.blogger.com/profile/14117355604916903308noreply@blogger.comtag:blogger.com,1999:blog-7905729024656704090.post-87150073760357778202012-08-05T03:42:09.745-04:002012-08-05T03:42:09.745-04:00The chart in the post above is a screen image of t...The chart in the post above is a screen image of the exact chart in the online excerpt of Conard's book referenced by Greg Mankiw. The 3 percent increase derives from the numbers in the chart for the constant 2005 dollars for median income in 1980, $25,000, and 2005, $25,700. (Actually a 2.8 percent change rounded up to 3 percent.) I did not verify the data in the chart. You will have to contact Conard if you think his data is incorrect.Milton Rechthttps://www.blogger.com/profile/02488660316957122768noreply@blogger.comtag:blogger.com,1999:blog-7905729024656704090.post-58212959660899806732012-08-04T13:03:20.315-04:002012-08-04T13:03:20.315-04:00This comment has been removed by the author.Milton Rechthttps://www.blogger.com/profile/02488660316957122768noreply@blogger.comtag:blogger.com,1999:blog-7905729024656704090.post-55716665669567289682012-08-03T11:13:58.561-04:002012-08-03T11:13:58.561-04:00I am midway through Conard's book, and the cha...I am midway through Conard's book, and the chart you linked to is confusing.<br /><br />There seem to be some typos in the chart, and it is hard to recreate his numbers.<br /><br />He states, right before the chart, "Median incomes have increased 30%, on average, across all demographics". His source is the Census Bureau (CB).<br /><br />CB's Table P-4 shows 2005 Median Income for everyone to be $27,167 and 1980's to be $20,013 (both in 2010 dollars). That is a 36% increase. This isn't a big deal, both numbers show 30%+ increase.<br /><br />But, it is 30%+ not 3%.<br /><br />It isn't correct, I don't think and am happy to be corrected, to say as you do, "the overall real median income growth for the entire combined group was only 3 percent over the same time frame".<br /><br />I've attempted to recreate his chart, using his numbers, without much success.<br /><br />So, I feel there may be something obvious that I am overlooking.<br /><br />Any help appreciated!Ryan68https://www.blogger.com/profile/14117355604916903308noreply@blogger.com