So I realize that there is some intense debate about this--and I know
I could search the archives to find out what it is about--but what, in
short, is wrong with this kind of plan, at least as a short term
measure?

sean

On Wed, Oct 5, 2011 at 18:46, Sandwichman <[email protected]> wrote:
> "The essence of the plan is a universal limitation of hours of work per week
> for any individual by
> common consent, and a universal payment of a wage above a minimum . . . I am
> asking the
> employers of the nation to sign this common covenant . . . in the name of
> patriotism and
> humanity."   (President Franklin D. Roosevelt, 24 July 1933)
>
> Economica (2011) 78, 133–158
>
> http://onlinelibrary.wiley.com/doi/10.1111/j.1468-0335.2009.00804.x/pdf
>
> Work-sharing During the Great Depression: Did the
> ‘President’s Reemployment Agreement’ Promote
> Reemployment?
> By JASON E. TAYLOR
> Central Michigan University
> Final version received 28 January 2009.
>
>
> The President’s Reemployment Agreement (PRA) of 1933 directed firms to
> reduce workweeks during the
> Great Depression so existing jobs could be spread into additional employment
> opportunities. Similar ‘worksharing’
> policies have recently been implemented across Europe in hopes of reducing
> unemployment. I find
> that, ceteris paribus, the work-sharing aspects of the PRA created nearly
> 2.5 million new employment
> opportunities in around four months. However, the programme also required
> firms to raise hourly wage
> rates, offsetting close to half of these gains. Furthermore, most of the
> remaining employment gains were
> wiped out after cartel-oriented industry-specific codes of fair competition
> supplanted the PRA.
>
> --
> Sandwichman
>
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