Ran across this interesting chart which can be found at www.payscale.com. This pay rate chart shows that since 2008 people’s pay took a hit and has not recovered past 2008 levels since!
Over this same period of time, the city budget increased almost 15% (less if certain contingency funds are not considered*).
The city cites the regional November-November Boston-Brockton-Nashua Consumer Price Index (CPI), which came in at around 2.9% this year to justify an increase in the city budget for FY13.
Let’s summarize: Personal income for wage earners is flat compared to 2008. CPI is up, meaning that people can afford to purchase less of what they need. On top of that, the city increased spending by almost 15% (comparing FY13 budget to FY08 budget, not to actual*), making it even harder for wage earners to make ends meet.
Maybe the CPI is the wrong standard of measure?
The situation is worse for those on fixed incomes, who are seeing not only increasing costs of living and increasing taxes, but decreasing incomes of late. They are the most vulnerable.