real wages

American  

[ree-uhl, reel] / ˈri əl, ril /

plural noun

Economics.

1. wages estimated not in money but in purchasing power.

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real wages British  

plural noun

1. economics wages evaluated with reference to their purchasing power rather than to the money actually paid Compare money wages

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real wages Cultural  

1. Wages adjusted for the prevailing level of consumer prices. (See also constant dollars.)

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Etymology

Origin of real wages

First recorded in 1880–85

Example Sentences

The decrease in real wages is “a big turnaround from the past few years, when wages were growing well above inflation for most workers.”

From MarketWatch • Apr. 10, 2026

Preliminary Shunto results signal solid pay increases, but real wages remain under pressure from inflation, now complicated by Middle East-driven energy shocks, Justin Feng and others say.

From The Wall Street Journal • Mar. 24, 2026

Overall, real wages rose slightly faster in the 12 months ended in January than in the prior 12 months.

From The Wall Street Journal • Feb. 24, 2026

Barr’s base case is that disruptions will be painful but temporary, with productivity gains eventually lifting real wages and supporting growth.

From Barron's • Feb. 17, 2026

Laborers of the same skill, paid the same real wages, of the same cost, will produce a vastly greater amount of wheat in Dakota than in Vermont or England.

From Principles Of Political Economy Abridged with Critical, Bibliographical, and Explanatory Notes, and a Sketch of the History of Political Economy by Mill, John Stuart

Related Words

• net income