Steven Kopits argues about the relevance of market imperfections, to wit:
What the hell do you teach your students, Menzie? “Well, you know, here’s the theory, but let’s not get carried away with it in real life.”? Why would anyone want to be an economist when the bulk of your views seem to revolve around exceptions to the rule, about presumptions that you are smarter than the market or that markets don’t work?
Here’s a time series of the real minimum wage, under the Sanders proposal.
Azar, Marinescu, Steinbaum (2018) as SSRN [NBER WP version] [preprint at J.Human Resource]:
Addendum, 2/8 8am Pacific:
And here is a very recent survey of labor market monopsony: Manning, ILR (2021).
Today, we present a guest post written by Jeffrey Frankel, Harpel Professor at Harvard’s Kennedy School of Government, and formerly a member of the White House Council of Economic Advisers. A shorter version appeared at Project Syndicate.
About 10% of the population in San Diego have now received the vaccine. A third of these — 100,000 people– were served by a single facility operated by the University of California at San Diego. What’s the secret to their success? Answer: logistics.
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Employment in early January continues to decelerate to near standstill (BLS), as I suggested in November would happen if the US did not implement a coherent plan to contain the Covid-19 pandemic.
From Alan Manning, in Journal of Economic Perspectives (a journal of the American Economic Association), “The Elusive Employment Effect of the Minimum Wage”:
I talked through some issues regarding the competing recovery plans in this Wisconsin Public Radio interview. Here are some graphs to buttress my point that the Senate Republican plan is underpowered.
CBO released its projections for GDP under current law, and potential GDP yesterday.
Modern communication infrastructure can facilitate swift simultaneous action by a large number of people. If used to coordinate a surprise attack, an organized mob can overcome a store or even the capitol building. Is Wall Street the next target?
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