One of DC’s sillier arguments–a very competitive category–is the claim that you’re not really cutting a program when you reduce its growth rate. Apparently, Congressman Ryan was unhappy with a new CBPP post pointing out that most–69%–of his budget cuts come from programs that serve low or moderate income people. As CBPP’s Bob Greenstein points out:… Read more
To open our full employment event last week, Larry Summers presented an extremely compelling case for the importance of using fiscal policy to close our persistent output gaps, lower unemployment, and repair some of the economic damage resulting from “austerity,” i.e., reducing budget deficits in weak economies. At the same time Larry was presenting this… Read more
I think this is a pretty remarkable picture that hasn’t gotten enough attention, perhaps because it’s a touch complex. It shows the relationship between wage inequality among women workers and the minimum wage, and the fit is very tight. The blue line shows the gap in pay between middle- and low-wage women, i.e., the 50-10… Read more
Over at the NYT Economix blog: the flow point I made earlier here at OTE, getting back to ground zero on private sector jobs is not much to crow about, and sure, there’s a bit of wage growth, but nothing to get all wound up about, inflation-wise.
A few months ago I was in a restaurant and noticed a mistake on the check. “I’m sorry,” the waiter said, suggesting there was nothing he could do about the overcharge. “That’s how it’s in the computer.” I was recently reminded of that incident when I testified at a budget hearing in the House, particularly… Read more