Why the Average Hourly Earnings Reported in the Economic Report of the President Changed

Abstract

Some economists use the Economic Report of the President as a source for determining the average hourly earnings paid in the private nonagricultural sector of the economy. The Economic Reports of the President have a table that presents average hourly earnings from 1964 to present. Each year's average hourly earnings reported in 2004 are higher than for the years reported in the 2003 Economic Report. This paper attempts to explain why.