Today the U.S. Department of Commerce’s Bureau of Economic Analysis released their monthly personal income data for July 2010. The chart below shows the private sector share of personal income from January 1959 to July 2010.
The private sector is up ever so slightly from June 2010 to July 2010. However, the private sector is essentially moving side-ways in 2010 at its lowest point since 1929.
Hopefully, these new private sector lows will, at least partially, be temporary. Usually after a recession the private sector rebounds. According to BEA estimates of the effects of the American Recovery and Reinvestment Act (ARRA), the ARRA effects are already starting to wear off.
Note: “Supplements to Wages and Salaries” in the BEA data are not broken down into “private” sector” versus “government” components. I used the ratio of private wages and salaries to total wages and salaries in order to break down supplements to wages and salaries.
Related Posts :