Wages as a Share of Net Output, not Gross

Brad Plummer has a good set of charts showing how different segments of the population have fared in the downturn. I have two minor quibbles with the selection. First, to show the decline in the labor share of output, chart 5 shows the labor share of GDP over the last three decades. This is slightly misleading. The depreciation share of GDP has risen by roughly two percentage points over this period, which means that if the division of wages and profits had stayed constant, the chart would st...