Yesterday we noted that one reason labor unrest has surged in the last two years is that Biden’s inflation has sunk real wages. Workers are making less money relative to their purchasing power. Rising prices create worker anger and increase support for union action – including strikes.

This recent headline confirms this and things have gotten worse in 2023 as evidenced by the lengthy writers’ strike in Hollywood.

This chart shows that the last time we saw a huge surge in work stoppages was in the late 1960s through 1980 – an era when inflation hit double digits and over 12 years of the decade prices nearly doubled.

Notice that when Reagan and then-Fed chair Paul Volcker took inflation down from 11% to 3% and inflation remained tame for the next forty years, strikes were few and far between. Biden comes in, prices surge and workers demand higher pay. This could be coincidental – but we think not.