Since unemployment benefits provide a disincentive for finding work, reducing unemployment would reduce this disincentive.
Sounds like blaming the unemployed for being unemployed. There are many factors regarding people who are unemployed long term. Most often it has nothing to do with the minimum wage, people being lazy or feeling entitled.
>I'm glad you agree that if wage flexibility could be engineered, then this would make Keynesian stimulus unnecessary.
Sounds like it's inviting companies to continue to profit while not hiring or rehiring their workforce a lower wage. That or you get disparity between old workers & new workers. Cost of living I doubt would adjust very quickly. Those who would pay the biggest price are those coming back into the workforce who will be making less, but probably paying the same living expenses.
>Banks tend to sell foreclosed properties at, well, foreclosure sale prices.
You assume they are selling. The housing market is flooded with foreclosed properties going nowhere. If the idea here is to reducing wages for those who are able to find a job.
(Note: I only read the first paper in detail, but the second is quite popular.)
Sounds like it's inviting companies to continue to profit while not hiring or rehiring their workforce a lower wage...making less, but probably paying the same living expenses.
A monetary or fiscal stimulus does the same thing - the only difference is that instead of making 10% less dollars, workers earn the same number of dollars but prices go up 10%.
The housing market is flooded with foreclosed properties going nowhere.
This is because regulations allow banks to mark properties to a model, rather than to market. This is also why banks are not foreclosing on a lot of deadbeats - they don't have to admit to shareholders that they took a loss until after they foreclose.
This is basically just a way for banks to cook the books, but for some reason politicians and regulators don't seem to care. Strange.
Sounds like blaming the unemployed for being unemployed. There are many factors regarding people who are unemployed long term. Most often it has nothing to do with the minimum wage, people being lazy or feeling entitled.
>I'm glad you agree that if wage flexibility could be engineered, then this would make Keynesian stimulus unnecessary.
Sounds like it's inviting companies to continue to profit while not hiring or rehiring their workforce a lower wage. That or you get disparity between old workers & new workers. Cost of living I doubt would adjust very quickly. Those who would pay the biggest price are those coming back into the workforce who will be making less, but probably paying the same living expenses.
>Banks tend to sell foreclosed properties at, well, foreclosure sale prices.
You assume they are selling. The housing market is flooded with foreclosed properties going nowhere. If the idea here is to reducing wages for those who are able to find a job.