True. Forty years ago.
And 40 seconds ago.
It seems that when the studies are well controlled, primarily by comparing areas with similar demographics and economies, raising the minimum wage has very little or no affect on those on the lowest rung of the economic ladder.
It seems that the effect of modest increases in the minimum wage is modest. But usually not zero. Card/Kruger which showed a positive effect on employment from a minimum wage increase has largely shown to be wrong by several studies (some of them here gregmankiw.blogspot.com )
In any case the subject of the conversation wasn't modest increase in the minimum wage but high minimum wages. Few economists would suggest that a $15 national minimum, an $18 state minimum or a $20 local minimum (in today's economy with today's dollars, not some future inflated dollars or more productive economy) wouldn't have a negative effect on employment (or at least on legal employment). Some of them might support it anyway, for partisan reasons, or because they think there are other benefits that outweigh the lost employment, but that isn't the same thing as believing there is little to no effect on employment.
As a general class Keynesian economists, monetarists, Austrian economists, just about every significant group of economists largely agree with me on this.
We went from a borderline depression to a recovery. In near record time
No, we went from a severe recession (but one not as severe as many others, if more severe then other recent recessions), to a weak recovery. There was no record time about the recovery of output or employment, or even unemployment (which has been reduced faster then employment has recovered as discouraged workers have left the workforce). |
