Doug H asks, > How did you measure the social wage, Eric? Answer: very poorly, but better than others have done it. Key: the social wage is generally presented as the contribution government programs make to the standard of living of employed workers. Determining the size of the social wage requires determining what government programs benefit the "average worker" and, then, determining the contribution these programs make to the worker's standard of living. Neither of these tasks is easy (or, maybe, even possible). Those who have previously calculated the size of the social wage have assumed that all programs that can generally be identified as "social welfare" programs benefit employed workers. (For instance, that ALL spending on the social security program that goes to retired workers benefits employed workers!) They have also assumed that current government spending on each of these programs is the best way to value the contribution these programs make to a worker's standard of living. (For instance, the 3-fold increase in per student educational spending over 1950-1990 means that students now get 3 times the educational services they did 40 years ago.) I try to be more careful when I identify which programs benefit employed workers and also when I estimate the contribution government programs make to workers' standard of living. Not surprisingly, my estimates of the social wage is smaller than those made by others. I'll send you a draft paper that explains some of the details. Eric .. Eric Nilsson Department of Economics California State University San Bernardino, CA 92407 [EMAIL PROTECTED]
