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A comment on Why Are Corporations Hoarding Trillions?. Parent comment

Re:Why Are Corporations Hoarding Trillions? by anshukla on Thursday January 21, 2016 @04:44PM (#10948639)
"One leading hypothesis is that firms employing low-wage workers—such as fast-food chains—have significant monopsony power in the labor market; that is, they are the principal purchasers of low-wage labor in a particular job market. And a monopsonist facing a price floor doesn’t necessarily buy less, just as a monopolist facing a price ceiling doesn’t necessarily sell less and may sell more."

- Krugman, http://www.nybooks.com/articles/2015/12/17/robert-reich-chal...

"The employment effect of the minimum wage is one of the most studied topics in all of economics. This report examines the most recent wave of this research – roughly since 2000 – to determine the best current estimates of the impact of increases in the minimum wage on the employment prospects of low-wage workers. The weight of that evidence points to little or no employment response to modest increases in the minimum wage."

Schmitt, https://cepr.net/documents/publications/min-wage-2013-02.pdf

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Re:Why Are Corporations Hoarding Trillions? by eric_h on Thursday January 21, 2016 @06:27PM (#10949392)
Thanks for teaching me a new word (monopsony)! It's been a long while since my vocabulary has been increased with something that's not a millennial invention.
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Re:Why Are Corporations Hoarding Trillions? by icebraining on Friday January 22, 2016 @06:01PM (#10956135)
It's been a long while since my vocabulary has been increased with something that's not a millennial invention.

That means you're missing The Allusionist! http://www.theallusionist.org/

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Re:Why Are Corporations Hoarding Trillions? by Animats on Friday January 22, 2016 @05:02PM (#10955879)
Farmers know that term very well. When the second loading ramp or grain elevator closes, and there's only one buyer left, farmers face a monopsony. Farmers have fought back with co-ops and Government price supports.
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