Re: Minimum wages

["K KUSH" <kkush@mailcity.com>]

"A very recent NBER study has confirmed what economists have always shown to be theoretically
true: that minimum wages kill jobs for low wage workers. "

What is this NBER establishment?  We all know that as far as macro-economics go just
about anything can be "proven."   This paper no. 6111 is a wagonful of B.S.    I
bet NBER works for American corporations (and the new aristocracy) who have always
opposed anything that benefits the working class.

 I am writing this off the cuff so I do not have the relevant studies before me,
but I bet I can more than "prove" that minimum wage laws have been good for America
and the american worker.  One resourse that does come to mind are studies done by
Ralph Nader and his numerous support groups.

If at any point it could be conclusively proven that minimum wage laws are hurting
american economy in a significant way, then enough consensus could be built on both
sides of the aisle to abolish such laws. Because more than ideology, Americans are
practical and utilitarian, most of the time. But fortunately no such case has been
proven.
Take for example the recent minumum wage hike that raised the current minimum wage
in america to $5.15 (?).  Remember the hue and cry by the Republicans (who are mouthpieces
for the corporacy) ?  Well, all the dire predictioins have been "proven" wrong so
far at least.  There has been no effect on inflation, there have been no bankruptcies
in sectors that employ such workers in high numbers (retail, food, etc.) and miracle
of miracles you can still by a BigMac or a Whopper for 99cents when burger wars rage.

to jump to conclusions regarding what is good or bad for India on minimim wage issue
is a bit naive, particularly based on such dubious papers.  Second, the government
of India has laws on almost everything you can name but who is implementing them?
 No one.  Without a strong, modern, de-politicized government in India, no meaningful
comparisons can be made.

KUSH KHATRI, WASH, D.C

>The study entitled, "Minimum Wages and Youth Employment in France and the United
States: NBER Working Paper No. 6111" by John Abowd, Francis
>Kramarz, Thomas Lemieux and David Margolis, has conclusively proved this result.
If we want the poorest workers to suffer, we must impose minumum wage laws; else
abolish them.
>
>In other words, what an earlier discussant was saying about minimum wages, and my
counter-argument to that, need to be re-visited, and we need to finalize the view
that minimum wage laws in India need to be abolished.
>
>Thanks,
>
>Sanjeev
>
>



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