Category: economics

Productivity Only Causes Persistent Unemployment If Policymakers Fail To Provide Adequate Demand

the point is that when you take the long view it’s not as if steadily increasing productivity leads to steadily declining employment—what it leads to is higher average output and rising living standards. But it only accomplishes that if the policymakers charged with macroeconomic stabilization use fiscal and monetary policy to ensure that there’s a… Continue reading Productivity Only Causes Persistent Unemployment If Policymakers Fail To Provide Adequate Demand

Ikea’s Third World outsourcing adventure — in the U.S. – How the World Works – Salon.com

Ikea seems to be treating its American workers at a furniture plant in Danville, Virginia a good deal worse than it does its Swedish workers back at home. The workers are trying to unionize; in response Ikea has hired the famous union-busting-specializing law firm Jackson-Lewis. Nothing particularly out of the ordinary for American labor relations… Continue reading Ikea’s Third World outsourcing adventure — in the U.S. – How the World Works – Salon.com

So, When Do the Confidence Fairies Arrive? « Rortybo mb

Image giving an economics undergraduate the following question: “Unemployment is high. Inflation is low. Borrowing costs are cheap. What should the government do?” and they responded “cut the short-term deficit immediately to show strength!” You’d have to give them a bad grade, right? But that’s what our government, Democrats and Republicans, are doing. But there’s… Continue reading So, When Do the Confidence Fairies Arrive? « Rortybo mb

Barber Licensing Rules Harm Prisoner Re-entry

Nobody comes out and says “I want to establish an occupational licensing regime for my profession in order to create an arbitrary barrier to entry” but the system works, in practice, to create arbitrary barriers to entry. Consequently, there’s a need to find barriers that don’t seem totally arbitrary, From Barber Licensing Rules Harm Prisoner… Continue reading Barber Licensing Rules Harm Prisoner Re-entry

Ryan and Taxes

The Ryan plan calls for cutting the top marginal rate to 25 percent — lower than it has been at any time in the past 80 years. That in itself should tell you that this is a deeply unserious proposal: anyone who tells you that we have to face hard truths, that everyone must sacrifice,… Continue reading Ryan and Taxes

Why is Paul Ryan’s Budget Trying to Dismantle Financial Reform?

The budget Paul Ryan released yesterday has huge cuts that are likely to fall on the poorest Americans while offering all kinds of bonuses to the top 1%. Others will be talking about how it eliminates Medicare and Medicaid. I want to talk about how it dismantles one of the few regulations put on Wall Street… Continue reading Why is Paul Ryan’s Budget Trying to Dismantle Financial Reform?