Supply side destruction. Worker pay collapsed under Reagan's voodoo economics team

Hey, Art Laffer...how do you explain this?

Wasn't supply side economics supposed to incentivize everyone to work harder because they'd get to keep more of their hard-earned money? Well, work harder they did, but they earned far less. Average hourly earnings collapsed under Reagan. Art Laffer how do you explain this? Laffer's the greatest con man of the last 30 years!

Average hourly earnings y-o-y % change

The disturbing trend underneath the strong jobs report

Total employment taxes (witholding) collected by the Federal Government so far this year, are running about $8 billion above last year. On the surface this would appear to be a good sign and an indication of a stronger economy and job market, however, notice the trend, it's going down. This comes despite a stellar jobs number last Friday. It suggests that income earned on all these new jobs is not rising, but in fact falling. This seems to be corroborated by average hourly earnings, which on a year-over-year basis, hit the lowest level in 10 months in January.

Not to be a killjoy, but...

Today's jobs report was WAAAYYYY better than expected, no question. However, when you look behind the bullish, 243k gain in payrolls and drop in the unemployment rate to 8.3%, you see a disturbing trend: Average hourly earnings continue to decline. And since national income equals national product, then shrinking the income of the nation (or causing it to grow very slowly) means that you are shrinking the economy by definition. So, yeah, there are more people working, but they're earning less. Not good.

Average Hourly Earnings Y-o-Y % change