Re:The Growing Underclass: Jobs Gone Forever
by mos1 on Friday January 29, 2010 @04:26PM
(#1087598)
Your Econ 101 class must've been far more definitive than my Econ 600 classes.
Econ 100 -- Keeping all other variables the same, if the cost of wages goes up, demand for workers goes down.
Econ 600 -- When wages go up, the other variables do not remain the same, so a useful comparison must analyze the second-order effects to determine the change in aggregate demand for workers.
Econ 100 -- Keeping all other variables the same, if the cost of wages goes up, demand for workers goes down.
Econ 600 -- When wages go up, the other variables do not remain the same, so a useful comparison must analyze the second-order effects to determine the change in aggregate demand for workers.