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Falling Real Wages In Japan

Excellent post from Noah Smith ends with this chart:

Too much talk about inequality in America doesn’t think hard enough about the international context. The United States has had stagnating (or falling) median wages, and also a finance-driven explosion in high-end inequality. Did the latter cause the former? Maybe. But Japan seems to have managed falling real wages without the same top-end phenomenon. Especially in the wake of the Crash of 2008 the high-end inequality looks to me like evidence of bad financial regulation, with the median wage stagnation possibly a separate problem also present in Japan and Germany.

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