bitchy asides...

MScoleman at aol.com MScoleman at aol.com
Thu Jan 21 20:01:35 PST 1999


In a message dated 99-01-21 20:37:16 EST, you write:

<< Really, within the context of actual existing neo-liberal US, Allie is

probably right. Without a minimum wage, we might still have strong

manufacturing and textile sectors. The jobs would pay less, but who knows,

it might also raise wages in the service sector. I'm assumeing a lot of

those lost manufacturing jobs were union jobs, so the unions could be

stronger than they are now. The law of unintended consequences might just

surprise.

>>

In fact, the unemployment rate has fallen significantly following the recent increases in the minimum wage. The argument, which can even be found in some mainstream texts these days, is that an increase in min wage increases consumption spending, which increases effective demand, creating more jobs. maggie coleman mscoleman at aol.com



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