In this paper we derive an approximation of the real wage index that does not require the estimation of preferences. The major advantage of this approach is that the measure is extremely easy to compute and provides a first-order approximation of the rate of change in the real wage index.

I. Preliminaries -- One: Introduction, -- Two: Mathematical Preliminaries -- II. Consumer Behavior -- Three: Consumer Behavior in the Absence of an Income Tax -- Four: Consumer Behavior in the Presence of an Income Tax -- III. Economic Indices in the Absence of Taxation -- Five: The Konus and...