Benjamin Studebaker

Yet Another Attempt to Make the World a Better Place by Writing Things

Tag: Wages

How to Use Minimum Wage Laws to Improve Local Schools

In American towns, school systems are the backbone. Strong schools attract affluent residents. Affluent residents boost land values and median incomes. Higher land values and median incomes means higher tax revenue. Higher tax revenue means more money for schools. More money for schools means strong schools, and that means more affluent residents. It’s a virtuous circle:

What kills American towns are low income residents. Low income residents lower the amount of tax revenue local schools have per student, damaging school performance. As the schools decline, the affluent residents dry up, and that hits land values and median income, eroding tax revenue and further damaging the schools. Towns get into death spirals, where declining schools and collapsing prosperity feed off each other. Today I want to talk about how towns get thrown off this cycle, and how higher local minimum wage laws can keep them on track.

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Why Immigration Controls Can’t Bring Your Job Back

All over the western world, anti-establishment movements are pushing for immigration controls. They argue that immigrants from developing countries are willing to work for too little and there are too many of them. Because there are so many and they are so cheap, these immigrants take jobs which might otherwise go to native-born westerners. The workers who support immigration controls are right to point out that they have not been receiving a fair shake in the last few decades, but this is not due to immigration–it’s due to capital mobility.

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How to Read That Productivity/Wage Gap Chart We’re Always Seeing

You’ve probably seen this chart before. It’s everywhere now. I’ve used it more than a few times over the years. It’s the chart from the Economic Policy Institute that shows that while US productivity has continued to increased over the last few decades, real inflation-adjusted wages haven’t kept pace:

I’ve seen two bad misreadings of this chart lately, and I want to clear them up.

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Trump Plans to Let Restaurateurs Confiscate Employees’ Tips

I had the misfortune of reading about a newly proposed Trump administration regulatory change. These regulatory changes happen constantly, but most of them fail to draw the heavy press and public attention that say, net neutrality has and does. It seems these regulations are least likely to get attention when the groups they harm are small and economically and politically weak. This latest regulation hits tipped employees especially hard, and its design is insidious and deeply misleading. Here’s how it works.

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National Self-Determination is Overrated

I have a new piece out for Current Affairs about the importance of political unions in the 21st century. Here’s the link:

The original title was “In Praise of Unionism: What the European Left Can Learn From America,” but we souped it up a bit. It’s a bit longer and more comprehensive than the stuff I usually do here. The folks at CA are delightful to work with. They’re putting out some really terrific long-form pieces that dig into things more deeply than a lot of what we see on the web these days.