Wages and Jobs

* Cardinal Roger Mahony (Commentary, Nov. 3) writes that over the last 10 years the benefits of economic growth are enjoyed by fewer persons and that real wages have fallen. In fact, total employment rose by 17 million persons in this period, unemployment fell from 7.1% to 5.5%, and real wages rose. Labor compensation increased by $1.8 trillion, showing the same percentage increase as national income.

Mahony is correct, however, in stating that much more needs to be done to prevent families from falling into the poverty class. The current high school dropout rate of 30% virtually assures high poverty rates. The upward trend of very high teen-age pregnancy rates needs to be reversed. And single-parent families, so very numerous today, are usually at a serious economic disadvantage. These are very important causes of poverty that require attention, even in an economy that provides prosperity for most families.

THEODORE A. ANDERSON

Professor of Finance, UCLA