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A comment on How the Great Recession Proved the Value of a College Degree. Parent comment

Re:How the Great Recession Proved the Value of a College Degree by yummyfajitas on Friday August 17, 2012 @06:58AM (#4395780)
Interesting - this looks like a huge missed opportunity.

According to Keynesians, job losses in recessions are caused by sticky nominal wages and insufficient inflation. But in the case of government, nominal wages can be reduced by fiat.

So why didn't we simply reduce the pay of government employees rather than reducing their number?

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Re:How the Great Recession Proved the Value of a College Degree by patdennis on Friday August 17, 2012 @10:29AM (#4396497)
I assure you that - virtually always - layoffs are a last resort.

Furloughs, pay cuts, and reducing headcount through attrition have become almost ubiquitous on the state and local level over the past few years.

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Re:How the Great Recession Proved the Value of a College Degree by yummyfajitas on Friday August 17, 2012 @12:38PM (#4397308)
Um, no.

http://research.stlouisfed.org/fred2/series/ECIGVTWAG

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