Boom Doom Economy: USA Personal Income at Post-Recession High! (Charts) *Wages & salaries higher*

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Bureau of Economic Analysis: Monthly Personal Income and Outlays

Official Statement by the U.S. Bureau of Economic Analysis (October 28, 2011) Personal income increased $17.3 billion, or 0.1 percent, and disposable personal income (DPI) increased $12.9 billion, or 0.1 percent, in September, according to the Bureau of Economic Analysis. Personal consumption expenditures (PCE) increased $68.7 billion, or 0.6 percent. In August, personal income decreased $13.6 billion, or 0.1 percent, DPI decreased $12.8 billion, or 0.1 percent, and PCE increased $24.2 billion, or 0.2 percent, based on revised estimates.

Personal Income and Disposable Personal Income (Chart) (Seasonally adjusted at annual rates) Below is a chart of Personal Income and Disposable Personal Income, which are above the Pre-Great Recession peaks and at Post-Great Recession peaks. Both have leveled off the past few months. Personal Income is growing at a slightly faster rate than Disposable Personal Income. Current Personal Income of $13.029 trillion (preliminary) is a Post-Great Recession high. The Great Recession low was $11.863 trillion in July 2009. The Pre-Great Recession peak was $12.637 trillion in May 2008. Current Disposable Personal Income of $11.613 trillion (preliminary) is also a Post-Great Recession high. The Great Recession low was $10.706 trillion in March 2009. The Pre-Great Recession peak was $11.483 trillion in May 2008. Personal Income is all the personal income in the USA: employee compensation, proprietors' income, rentals, interest, dividends, government social benefits, and business benefits. Disposable Personal Income is Personal Income less personal income taxes.

Wage and Salary Disbursements (Chart) (Seasonally adjusted at annual rates) Below is a chart of Wages and Salaries, which is above the Pre-Great Recession peak. Current Wage and Salary Disbursements of $6.699 trillion (preliminary) is a Post-Great Recession high. The Great Recession low was $6.237 trillion in March 2009. The Pre-Great Recession peak was $6.617 trillion in March 2008. Wage and Salary Disbursements is a sub-category of Compensation of Employees and does not include employer contributions for employee pension and insurance funds and employer contributions for government social insurance.

Private Industries Wage and Salary Disbursements (Chart) (Seasonally adjusted at annual rates) Below is a chart of Private Industries Wages and Salaries, which is above the Pre-Great Recession peak. Current Private Industries Wage and Salary Disbursements of $5.508 trillion (preliminary) a Post-Great Recession high. The Great Recession low was $5.068 trillion in March 2009. The Pre-Great Recession peak was $5.484 trillion in March 2008. Private Industries Wage and Salary Disbursements is a sub-category of Wage and Salary Disbursements (see chart above) and does not include Government Wage and Salary Disbursements (see chart further below).

Government Wage and Salary Disbursements (Chart) (Seasonally adjusted at annual rates) Below is a chart of Government Wage and Salary Disbursements, which has peaked and leveled off. Current Government Wage and Salary Disbursements of $1,190.6 billion (preliminary) is below the recent high of $1,192.5 billion in April 2011. The Post-Great Recession peak was $1.2005 trillion in May 2010, which was attributable to the 2010 census. Government Wage and Salary Disbursements grew through the Great Recession. Government Wage and Salary Disbursements is a sub-category of Wage and Salary Disbursements (see chart above) and does not include Private Industries Wage and Salary Disbursements (see chart above).

Commentary September 2011 Personal Income and Personal Disposable Income (preliminary) both increased to Post-Great Recession highs. Increases in compensation of employees, proprietors' income, rental income, dividend income, and government social benefits were more than the decrease in interest income and increase in personal taxes. Business employee benefits were unchanged. The trend is encouraging. Regarding wages and salaries, the BEA further commented, "Private wage and salary disbursements increased $17.9 billion in September, in contrast to a decrease of $9.8 billion in August. Goods-producing industries' payrolls increased $1.6 billion, in contrast to a decrease of $3.5 billion; manufacturing payrolls decreased $1.1 billion, compared with a decrease of $4.3 billion. Services-producing industries' payrolls increased $16.3 billion, in contrast to a decrease of $6.3 billion. Government wage and salary disbursements decreased $0.7 billion, in contrast to an increase of $1.3 billion."

About the Bureau of Economic Analysis
Mission: The Bureau of Economic Analysis (BEA) promotes a better understanding of the U.S. economy by providing the most timely, relevant, and accurate economic accounts data in an objective and cost-effective manner. Vision: To be the world's most respected producer of economic accounts.