Both Democrat Hillary Clinton and Republican Donald Trump havesaid they would work to get Americans a raise if they win the WhiteHouse. Simple demographics are a reason forskepticism.
Population aging is dragging down overall wages, researchfrom the Federal Reserve Bank of New York shows. That'sthe top story in this week's research wrap, which also looksat the influence of economic conditions on mortality, wagedynamics by firm size and inflation overshoot. Check back everyTuesday for a guide to interesting or impactful economicresearch released in the prior week.
When politicians talk up higher wages
...know that they'll be working against demography. Theaggregate real-wage growth rate peaked in the mid-1980s ataround 1.8 percent, New York Fed researchers find. They look atwhat they call a "cyclically neutral" wage growth rate: the onethat would occur over time in a labor market that's neitherespecially tight nor especially loose.
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