The Macroeconomics of the Global Technology Economy

Your “Personal” Technology Economy

Let’s start with some time travel and go back to 1980. Jimmy Carter was president. (Walter Mondale was vice president.) The Dow Jones swung between 759 and 1,000. Federal spending was a mere $591 billion, with a national debt of $909 billion, and unemployment was 5.8%.

And as for the basics, the median household income was $17,710 (as compared to $46,324 in 2010), a first-class stamp was $.15 ($.44 today), the average new home cost $76,400 ($272,300 in 2010), and a gallon of gas was $1.25.

As for the personal technology economy—the technology a person used in their daily, non-work life—that cost about $132 per year. It covered the cost of telephone and the “market data feed” (printed newspapers). That totals ...