White House: Higher Wages Needed To Make Up For Stagnation
WASHINGTON (AP) — President Barack Obama's top economists say that even as the U.S. has managed to kick-start a lasting and growing recovery, modest wage gains are far from making up for decades of paycheck stagnation for middle-class workers.
The White House, in its annual report to Congress, also warns that despite the U.S. relative economic strength, slowdowns abroad still pose dangers at home.
The 400-page "Economic Report of the President" is a largely bullish portrayal. It is likely to find little favor in the Republican-controlled Congress, although it broadly tracks with GOP criticism that the lack of significant wage growth is a critical flaw of the current recovery.
Middle-class income is already emerging as a key economic issue for the 2016 presidential and congressional elections.