The green line is the Consumer Price Index (CPI) which uses rental values, not house price inflation, as a parameter. So it is not related to the reality of the purchasing power of labor or the inflated asset values reflected in the redline "going to the moon". The C-S index was set as zero in 2000; the index shows house prices have increased 136% since then.
This story is related to the cost of living--in another country. New Zealand, which has managed to squash the COVID-19 pandemic under the leadership of Prime Minister Jacinda Ardern, is raising its minimum wage to $20/hr while increasing the top rate for high earners to 39%. New Zealand already was in the top five of nations having the highest minimum wage according to OECD data. In 2019, the annual real minimum wage in the island nation was $22, 476 compared to the US, which paid only $15,080. But the cost of living in New Zealand is high. For example, housing costs in Auckland are among the most unaffordable in the world, about eleven times average income. Waiting lists for public housing have hit a new record with 22,800 households wanting a space. Meanwhile, the US closes in on the country's 1918 flu pandemic death toll. COVID-19 US Deaths (est.): 566,255.