John, The argument mounted by Thomas Palley in a chapter of an edited book, (sorry I don't know the title, I read it in a bookshop in London) is that macro-policy in many european countries has been geared to keeping inflation down, whereas the USA ran budget deficits for years and a much looser monetary policy. Martin John Exdell wrote: > An economist at Kansas State University wrote an op-ed column in today's > paper here attacking a local labor coalition that is pushing for a living > wage economic development policy. He included the conventional wisdom that > high minimum wages in Europe have caused high unemployment rates. I recall > a posting on PEN in the late summer from someone who disputed this claim. > That message contained some figures on unemployment rates in several > European countries that were not much higher than ours, despite much higher > minimum wages in those countries. If someone has reliable figures on this, > please post them. We will make use of them here in our response. > > This economist of course also represented his view as the universal wisdom > of his profession. Are there other cogent explanations economists offer > for the higher unemployment rates in some European countries? > > --------------------------------------------------------------------------- > Department of Philosophy Office/voicemail: 785-532-0359 > Kedzie Hall 203 Philosophy Office: 785-532-6758 > Kansas State University Home: 785-539-6076 > Manhattan KS 66506 Fax: 785-532-7004 -- Centre of Full Employment and Equity Department of Economics Phone (61)2 4921-5069 (Work) University of Newcastle Fax (61)2 4921-6919 (Work) NSW 2308 Phone (61)2 4982-9158 (Home) Australia Fax (61)2 4981-8124 (Home)
