Your Friendly Neighborhood Economist

Have I mentioned that we need to do something about this before? I have.

If you have children or own a home, that is. All thanks to your sugar daddy, Governor Cuomo. Hey did you know he’s up for re-election this fall? What a coincidence!

In more than one way. Even the International Monetary Fund is saying that trickle down economics is BS. Although, I have to ask: are they mentioning that to all the countries in Latina America, Africa and Asia that they insisted adopt that model.

This article was good overall, but this last paragraph tells me Neil Irwin does not understand how capitalism works:
“Executives may bemoan higher pay for workers because it could cut profit margins. But after a generation in which the median American household has seen flat to declining inflation-adjusted income, wage increases are a welcome corrective. When workers begin to have more leverage in salary negotiations, it is a sign of an improving economy, not a liability that businesses should be complaining about.”
While greater worker bargaining power is a sign of an improving economy, it is also a problem for companies precisely because unless they can raise their prices, their profits will take a hit. This is the central contradiction of a capitalist economy. There is always a tension between corporations’ need for profits and for customers. Lower wages mean higher profits but not if the workers (as consumers) can’t buy the end product.

Sounds like what’s needed is a community development block grant. Who knows how much funding is left in that program, though, if any.

Three dates, one each in Albany (Sept. 22), Poughkeepsie (Sept. 23) and Ithaca (Sept. 24). You have to appear in person on those days to comment.

See how lazy these poor people are?
Seriously though, words like flexibility sound good to relatively privileged people like me for whom flexibility would be a bonus. But they often mean flexibility for a corporation to fine tune its profits at the expense of its workers.

via Your Friendly Neighborhood Economist

Also shocking is the fact that a plan designed to placate the insurance industry turns out to be a good thing for the insurance industry. Will wonders never cease?

I’ll give you a hint: it’s the U.S. energy industry. OK, technically that’s the answer, not a hint.