solarpunk memes

1979 was Jimmy Carter, a Democrat. Reagan did not start until 1980, and while he is famous for breaking the backs of unions, thus crippling their ability to fight back against this trend, he did not actually start it.

Before Carter was Ford and Nixon, both Republicans. Ford pardoned Nixon's crimes, supposedly to help "heal the nation".

According to Robert Reich's "Inequality for All" (free link) - he was the Secretary of Labor under Clinton and previously served under both the Carter and Ford administration so he was very much attuned to what was going on - this trend started due to the rise of corporations, which have super-rights that humans do not have. e.g., taxes on stock dividends were capped at like 13% while payroll taxes can go up to >35%, and while if a human commits a crime they would go to jail, but not so with a corporation. It's a great racket scheme for the rich to cover themselves in a legal fiction so as to avoid pretty much any responsibility for their actions. Hence why we see so many corporations acting so very boldly to destroy the planet - after all, why not? What's the worst that could happen to them in return?

Reagan was a couple of years later.

Coincidentally though, Thatcher happened in 1979, and Reagan is just Thatcher with a penis.

But the real answer is likely that after the financial troubles in the 70s and sky high inflation, there was a number of changes in government to try to have and maintain low inflation - things like higher levels of unemployment being tolerated, employer protection laws not evolving to combat companies' growing anti-union sentiment, fewer and smaller rises in minimum wages.

At the same time, lowering of tax rates on wealthy/high income people meant those people at the top wanted to take more of the pie than ever before, knowing that far less of it would end up being lost as taxes anyway, and that meant less for the workers.

I’m really surprised no one here has mentioned this yet, but a huge factor would have to be globalization and the offshoring of American manufacturing.

It started in the 70’s, with companies like GE and the car manufacturers moving factories to Mexico and later Asia, and with growing supply of imported cheap goods like steel. This really took off in the 80’s and 90’s with deliberate market liberalization and promotion of globalization during the Reagan/Bush and Clinton administrations.

In other words, American workers’ wages were pressured by the extremely low wages of overseas labour.