Monday, March 2, 2015
Krugman on Walmart raising its minimum wage
See his blog post today. Therein he debunks the typical regressive talking points about raising it. Doing so it a political choice that goes beyond the mechanical supply/demand dynamics of a supposed free market. Regressives pushing the latter have made predictions about what happens when minimum wages are raised and exactly none of those predictions have born out. Such raises have had little to no effect on employment numbers. In fact, "paying workers better will lead to reduced turnover, better morale and higher productivity." In States that have implemented higher minimum wages, those in this category will spend that extra money on goods and services, thereby boosting the economy and increasing employment to meet the extra demand.