Any guess who wrote that?
Incentives Not to Work
Excerpt:
The second way government assistance programs contribute to long-term unemployment is by providing an incentive, and the means, not to work. Each unemployed person has a 'reservation wage'—the minimum wage he or she insists on getting before accepting a job. Unemployment insurance and other social assistance programs increase [the] reservation wage, causing an unemployed person to remain unemployed longer
Comment: It's not easy .... just guess what his relationship to the current administration.
It's heartening to hear that at least some members of the current administration have some clue about incentives.....at least when Dear Leader isn't watching. :^)
ReplyDeleteLarry (I like that name for some reason) Summers has a history of speaking his mind, while going against the grain. I heard him in person at my nephew's college graduation in 2005 (while Summers was still the president of Harvard), before his penchant for thumbing his nose at political correctness finally resulted in his ouster/resignation.
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