IS219 Scrollytelling Project

Wages vs. Inflation

A short scrolling story about the difference between earning more money and actually having more buying power.

The bars show how wage growth can look strong before inflation is considered.

Nominal Wages+88%

Inflation+78%

Real Buying Power+46%

Takeaway: income may rise, but inflation reduces the real gain.

Question

Did wages really improve?

At first, wage growth can look like progress. If the numbers are going up, it seems like workers are earning more over time.

Problem

Wages do not exist by themselves. Prices also rise, and inflation changes how much those wages can actually buy.

Evidence

Nominal wages show the dollar amount workers earn, but they do not show whether that money has the same purchasing power over time.

Better Measure

Real wages adjust for inflation. This makes them more useful for understanding whether workers are actually better off.

Takeaway

The main takeaway is that wage growth needs to be compared with inflation before we can understand its real impact.

Although wages increased over time, inflation reduced the real improvement workers experienced.