Archive for the '1964 Civil Rights Act' Category

Martin Luther King’s Dream: Wages frozen at 1973 Levels

May 12, 2007

Martin Luther King gave an important speech in the 1960’s where he said that he had a dream. In his dream, the median wages of all groups would forever be restricted to the median wages of all men in 1973, i.e. no group all men, blacks, women, etc. would have median wages higher than men did in 1973.

MLK’s dream would be achieved by the 1965 Immigration Act which was passed after he declared his bold vision that men’s median wages in 1973 would be a ceiling for all time for the median wages of all groups.

Despite this limit on wages, productivity has gone up substantially, and all the extra money goes into stock prices. Wealthy Senators are voting for more guest workers and legalizations to fulfill the dream of stock prices that go up forever, while median wages are stuck at or below men’s median wages in 1973

See p60-231.pdf, (You can find it easily at another time, just search p60-231 or p60-231.pdf and it finds this document, its at a US government entity), and look at graph on page 18. Its true, men’s median wages are lower than in 1973 and women’s are lower than men’s now. Other data show that black median wages are lower than whites are today, so they are lower than all men’s wages in 1973. Data links at link below:

Black median wages data:

black white median wage graphs

Most of the gap between black and white median wages that was closed, was closed before the 1965 Immigration Act. This happened while all wages compressed together. This is called the Great Compression of wages. It happened during immigration restriction from the 1920 to the 1965 Immigration Act. When all wages compressed together, blacks participated in that and their wages compressed towards that of whites.

The top 1 percent only got 10 percent of national income instead of the 20 percent they got before 1920’s immigration restriction or the 20 percent they get now. Senators are wealthy. They stopped this compression cold by restarting immigration in 1965. They traded off the chance of blacks to compress their wages to whites for higher stock prices in their stock portfolio. Teddy Kennedy is the 8th wealthiest Senator today. He got his wealth by stopping the rise of black wages to equality with white wages.

McCain Kennedy is the Stop Martin Luther King’s Dream Act. It stops King’s dream of equality of black median wages to white median wages. McCain is the 7th wealthiest Senator and Kennedy the 8th. They are stopping blacks from reaching equality with whites in median wages by keeping immigration going. This is what has held blacks from making progress in wages for over 30 years.

Search black median wages “Great Compression”

See NBER paper:

Claudia Goldin, Robert A. Margo

NBER Working Paper No. 3817*
Issued in August 1991
NBER Program(s): LS “Great Compression”

December 22, 2006
National Data, By Edwin S. Rubenstein
Increasing Inequality: NY Times’ Krugman Misses The Immigration Dimension

April 06, 2006
National Data, By Edwin S. Rubenstein
The Smoking Bottom Line: Immigration Boosting Profits, Cutting Wages

January 29, 2007
National Data, By Edwin S. Rubenstein
Yes, Tyler, Income Inequality Is Real. And Immigration Is A Cause.

Even WaPo is discovering this

Devaluing Labor
By Harold Meyerson
Wednesday, August 30, 2006; Page A19 Washington Post
black wages

Meyerson says that the Great Compression caused the civil rights movement in 1964. This is half-right. In wage space, the civil rights movement happened before 1964. It was caused by immigration restriction and it already happened when black wages compressed to white wages. The 1965 Immigration Act had brought that to an end by the early 1970’s.

Moreover, by freezing all men’s median wages at the 1973 level, black’s median wages stopped going up as well, since what they were pegged to, all men’s median wages, had stopped going up in 1973. So in wage terms, the civil rights movement started with the 1920’s immigration restriction and ended with the 1965 Immigration Act. Civil rights in wages terms died around the same time as MLK was assassinated. But the assassin’s bullet for black wage progress was Ted Kennedy’s 1965 Immigration Act.

But Ted Kennedy is the 8th wealthiest Senator in the Senate today. Stock prices went up. This is because productivity kept going up but wages stagnated at 1973 levels. So the money went into profits so that pushed up stock prices. Kennedy has a huge stock portfolio. “8 Edward M. Kennedy (D-Mass) $19,189,049 to $93,043,004 Voted Yes S. 2611” See table below.

Explaining Black-White Wage Convergence, 1940-1950: The Role of the Great

Robert A. Margo
Department of Economics
Vanderbilt University

“NEW DATA SHOW EXTRAORDINARY JUMP IN INCOME CONCENTRATION IN 2004″ By Aviva Aron-Dine and Isaac Shapiro for a graph of income share of top 1 percent from 1913 to 2004.

Income Inequality U Shape Timeline

7 of the top 8 wealthiest Senators voted for S. 2611, amnesty, affirmative action, non-deportable crime, and a pathway for the top 1 percent of households to continue to enjoy 20 percent of each year’s income, compared to 10 percent before Kennedy’s 1965 Immigration Act. The only 1 of the top 8 who didn’t vote for S. 2611 didn’t vote, Jay Rockefeller. McCain is 7th and Kennedy 8th in wealth.

Open Secrets

Rank Name Minimum Net Worth Maximum Net Worth

1 Herb Kohl (D-Wis) $219,098,029 to $234,549,004 Voted Yes S. 2611

2 John Kerry (D-Mass) $165,741,511 to $235,262,100 Voted Yes S. 2611

3 Jay Rockefeller (D-WVa) $78,150,023 to $101,579,003 Not Voting S. 2611

4 Dianne Feinstein (D-Calif) $43,343,464 to $98,660,021 Voted Yes S. 2611

5 Lincoln D. Chafee (R-RI) $41,153,105 to $64,096,019 Voted Yes S. 2611

6 Frank R. Lautenberg (D-NJ) $38,198,170 to $90,733,019 Voted Yes S. 2611

7 John McCain (R-Ariz) $25,071,142 to $38,043,014 Voted Yes S. 2611

8 Edward M. Kennedy (D-Mass) $19,189,049 to $93,043,004 Voted Yes S. 2611

More data here

Hutchison Pence amnesty and expanded guest worker info here.

Free fax to Congress on hot immigration bills:

==See Reference to this article at Vdare:

12 May 2007
Imported nonsense at the National Journal
[Patrick Cleburne] @ 10:45 pm


Census p60-191: Inequality fell before ’65 Immigration Act, Rose After

February 9, 2007

See p60-191.pdf for a report including graph that income inequality has gone up since 1968. It is going up for reasons “still not entirely understood.”

“Although the Census Bureau has been measuring incomes for a half-century and a a large number of factors have been identified as contributing to changes in inequality, the root causes are still not entirely understood.”

The root cause is the 1965 Immigration Act, i.e. legal immigration is the root cause of the income inequality the census measures. The graph shows inequality went down during the period before the 1965 Immigration Act, the immigration restriction period. Inequality bottomed out around 1965 to 1968 and then went back up.

No immigration the graphs shows inequality going down, after legal immigration, income inequality goes up on the graph. The graph shows that just around 1965 and for a couple years, income inequality bottomed out. This is despite the passage in 1964 of the Civil Rights Act.
See Census gov p60-229.pdf page 14 of pdf for graph of men’s median wages which are lower than in 1973. After 1973, men’s wages flatlined. This supports identifying the 1965 Immigration Act and legal immigration as the cause.

Senators who voted for S. 2611, amnesty and the path to more income inequality.

Arizona: Kyl (R-AZ), Nay McCain (R-AZ), Ye
Florida: Martinez (R-FL), Yea Nelson (D-FL), Yea
Illinois: Durbin (D-IL), Yea Obama (D-IL), Yea
Kentucky: Bunning (R-KY), Nay McConnell (R-KY), Yea
Pennsylvania: Santorum (R-PA), Nay Specter (R-PA), Yea
Virginia: Allen (R-VA), Nay Warner (R-VA), Yea
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