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MANY economists say the stubbornly high jobless rate and the declining power of labor unions are also important factors behind the declining wage share, reducing the leverage of workers to demand higher wages.
Minutes from the Fed's latest meeting in September highlighted that view: "Most participants anticipated that slack in both labor and product markets would be substantial over the next few years, leading to subdued and potentially declining wage and price inflation".
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Do you want four more years of declining wages?
This could lead to declining wages and rising unemployment.
Less-educated workers have been particularly hard hit by persistently high unemployment and declining wages.
In a context of declining wages and rising costs, attempts at regulation are unpopular.
Declining wages are likely to play a prominent role in the current presidential campaign.
Deflation is a spiral of declining wages and prices, akin to what Japan has experienced since the 1990s.
Bleaker prospects for work and declining wages helped depress consumer spending, which makes up more than half of the economy.
This is partly down to the increasing role of women in the workforce, as declining wages and benefits force families to rely on two incomes.
Concern for the declining wages of working Americans and persistent high levels of inequality featured heavily in President Obama's State of the Union address this week.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com