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hash872today at 3:57 PM2 repliesview on HN

I don't have time for a longer comment, but AIUI this is mostly a statistical illusion caused by changes to US tax law- previously income that was attributed to 'labor' shifted over to LLCs/S corps for more beneficial tax rates. The doctor, lawyer, financial advisor, CPA etc. that in past decades would have had his/her income run through a W2 arrangement shifted to becoming a one-person corporation


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hn_throwaway_99today at 4:16 PM

Do you have any evidence for this, at all?

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prithviptoday at 5:03 PM

Exactly. Crazy you are getting downvoted for having the most informed comment here. The other aspect of this is the rise of franchisees in America. Previously, the salary of the manager of a corporate store would be measured as labor income. In a franchise, it would be measured as capital income.

https://bfi.uchicago.edu/insight/research-summary/the-rise-o...