Open thread July 16, 2019 Dan Crawford | July 16, 2019 9:36 am Tags: open thread Comments (3) | Digg Facebook Twitter |
Just a thought I dropped on a critic of the min wage who depended on the common mistake of predicting the effect of raises for low wage workers on demand for high end goods like fancy restaurants and vacation resorts. Demand to be measured isn’t only of the immediate price/demand equation at the workers industries but also of where the newly flush workers will “respend” their raises.
Industries that use low wage labor — and are patronized by high wage consumers – are more likely to lose jobs to min wage hikes. Industries that us low wage labor — and are patronized by low wage workers — are more likely to gain jobs. Thinking Card and Krueger. Split screen(s)?
How did they come up with a nominal .+4 gain in retail sales? I came up with -.2 using the same valuations. That reports stunk and they just goosed the final number for the sake of it.
Ok, they counted the 4th week in the sampling in June’s data and July’s sampling ends on the 27th.
That makes………..sense now. July’s going to give back some gains.