American minimum wage

Discussion in 'Economics & Trade' started by 4Runner, Oct 13, 2018.

  1. 4Runner

    4Runner Banned

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    Не обоссысь, ЧМО
     
  2. Reiver

    Reiver Well-Known Member

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    A relevant point in here. Without consideration of quality of product, from safety (e.g. "Watchdogs say dairy producers routinely added starch, chalk and soap to their milk") to housing services (e.g. "demand for low-quality residential development with inefficient transport links and bad infrastructure"), there is no genuine comparison.
     
    Last edited: Oct 16, 2018
  3. james M

    james M Banned

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    so you want a libcommie govt to raise all wages and prices by 20% because you feel all free market prices and wages are too low?
     
  4. Reiver

    Reiver Well-Known Member

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    Wrong again. The impact of minimum wages on prices is found to be relatively insignificant. Interesting that you have no problem with economic rent generated through underpayment mind you!
     
  5. james M

    james M Banned

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    you said all wages and prices were low because the free market does not work. So you want a libcommie govt to set all wages and prices at correct level?
     
  6. Reiver

    Reiver Well-Known Member

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    I said even orthodox labour economics agrees that underpayment is the norm. The market therefore fails and inefficient rent exists. The difference between my position and yours is actually straightforward (despite you failing to apply any sound economic analysis): you celebrate that inefficiency.
     
    Last edited: Oct 17, 2018
  7. james M

    james M Banned

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    if it was underpayment no one would agree to it in a free society. Would you sell your car for an underpayment?
     
  8. Reiver

    Reiver Well-Known Member

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    There are numerous sources of underpayment (which cannot be disputed as they are supported by empirical evidence). We've already referred to monopsonistic labour markets (which just need the firm to have wage making power). Another obvious example is discrimination.
     
  9. james M

    james M Banned

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    firms and workers have wage making power in a free market!
     
  10. james M

    james M Banned

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    The beauty of Republican capitalism is that it corrects discrimination automatically. A smart firm will hire the discriminated against workers at a lower price and bankrupt the over paying firms. 1+1=2 Embarrassed yet?
     
  11. Reiver

    Reiver Well-Known Member

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    Wrong again! Becker's taste for discrimination ultimately suggests that discrimination can only continue because of existing economic rents from market power. That isn't a credible stance, given the need for extra market interference in removing discrimination where market power is not a significant issue. We are therefore left with Institutionalist analysis, highlighting how discriminations in society are replicated in the labour market. And what goes hand in hand with bigoted attitudes? Right wing authoritarianism.
     
  12. Reiver

    Reiver Well-Known Member

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    Clueless remark! The worker only has control over his/her reservation wage.
     

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