On 6/11/14 11:03 AM, Eugene Coyle wrote:
> Don't miss the essay by Thomas B. Edsall in the June 10, 2014 NYT.  Edsall 
> reveals to Times readers what has seemed obvious to others for a few years.  
> The weak job market is pushing people down from college level jobs to 
> clerical, those pushed then push others down into ... well, the picture is 
> easy to get.  Edsall calls it a "downward ramp."
>
> Edsall notes that even Autor, of MIT is finally acknowledging that this is 
> going on, and he, Edsall, notes further that Larry Summers, believer now in 
> stagnation, still believes that traditional government spending will solve 
> this.
>
> Lots of other economists reported on, especially interesting Canadian 
> professors.  Larry Mishel and EPI is acknowledged but not the space deserved 
> for pioneering work over the years.
>
> The stunningly obvious step for society is to cut the work week, but as usual 
> goes unmentioned.  Take supply out of the market, raise the price.  Every 
> other supplier in the economy -- autos, pharmaceuticals, software -- keeps 
> prices up by cutting supply.  Some through market power, others through 
> government intervention.  Only workers cannot do it, for they must eat.
>
> http://www.nytimes.com/2014/06/11/opinion/the-downward-ramp.html?hp&rref=opinion
>
> Gene
>

"The other possibility – the option pressed by the Economic Policy 
Institute – is that government will intervene with policies to remediate 
stagnant or eroding wages."

fat chance...

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