Re:Wages Are Finally Rising, 10 Years After the Recession
by astazangasta on Sunday May 05, 2019 @09:09AM
(#19832611)
>Trump has been working to stop illegal immigration as well as stemming H1-B Visa abuse. A result is that there are "labor shortages" resulting in a rising wage rate.
Sorry, but what evidence do you have that anything Trump has done has produced this result? Or even that this is the result of stemming immigration and not, say, steadily increasing demand in the economy?
In regards to the illegal immigration, other than the small bump due to people fleeing violence associated with Honduras, illegal immigration has been at a multi-decade low. Trump talks about it a lot, but this was already a substantially smaller contributor to labor markets when he came into office.
Meanwhile, the unemployment rate has been dropping quite steadily over the past decade - it didn't adjust dramatically as a result of some Trump-related policy. This is entirely the result of the end of the Great Recession, which kicked up unemployment by a huge percentage around the world. It's now basically recovered to its pre-recession levels. A decade of GDP growth is also bringing aggregate demand where it used to be.
These systemic factors seem much more likely to me to be responsible for this tight labor market than any kind of fiddling with immigration policy, whose effects would take years to feel if they could even produce this kind of change.
Sorry, but what evidence do you have that anything Trump has done has produced this result? Or even that this is the result of stemming immigration and not, say, steadily increasing demand in the economy?
In regards to the illegal immigration, other than the small bump due to people fleeing violence associated with Honduras, illegal immigration has been at a multi-decade low. Trump talks about it a lot, but this was already a substantially smaller contributor to labor markets when he came into office.
Meanwhile, the unemployment rate has been dropping quite steadily over the past decade - it didn't adjust dramatically as a result of some Trump-related policy. This is entirely the result of the end of the Great Recession, which kicked up unemployment by a huge percentage around the world. It's now basically recovered to its pre-recession levels. A decade of GDP growth is also bringing aggregate demand where it used to be.
These systemic factors seem much more likely to me to be responsible for this tight labor market than any kind of fiddling with immigration policy, whose effects would take years to feel if they could even produce this kind of change.