Do minimum wage laws help low-skilled workers? No. Workers are thrown out of work if they cannot produce more than the minimum wage stipulates. If the minimum wage is $15/hour and a worker can only produce $13/hour worth of goods, they will not be hired since no profit-seeking employer would employ someone at a loss.
Jobs are the means, not the ends in themselves.
Senators Tom Cotton (R-AR) and David Perdue (R-GA) recently introduced the Reforming American Immigration for Strong Employment (RAISE) Act. If it were to become law, RAISE would cut legal immigration by 50 percent over the next ten years by reducing green cards for family members of U.S. citizens and lawful permanent residents, slashing refugees, and […]
“The real price of everything, what everything really costs to the man who wants to acquire it, is the toil and trouble of acquiring it.” — Adam Smith
Not only have their ideas failed on their terms, they have backfired, creating more lawlessness than before.
The final moments of an economist amidst a horde of zombies.
If we believe in liberty for migrants as well as Americans, we must grant them liberty peacefully to travel the world unmolested and to settle wherever they find homes to rent and enterprises to work for.
U.S. policymakers cannot base their estimates of how refugees will impact the labor market on the situation in Germany. Labor market institutions in the United States are better equipped to handle an influx of new workers.
Emigration restrictions are guaranteed to injure the would-be emigrants in exchange for a very small positive effect on those who would not emigrate – if there is a positive effect at all. It’s a foolish policy that does more harm to more people than just letting skilled foreigners seek jobs where they are most highly valued.
A focus on jobs missing the forest for the trees. We should be focused on creating wealth, not maximizing employment.
This piece was originally published at the L.A. Times. Foreign trade took a beating at both major party conventions, with speakers blaming free-trade agreements for all but wiping out U.S. manufacturing and eliminating millions of middle-class jobs. Both Donald Trump and Hillary Clinton have promised to renegotiate or abandon trade agreements with key U.S. trading […]
Is there any issue that divides people more than immigration? It’s an emotional topic that pits competing factions between and within parties against each other. As a result, it’s a high-profile issue this election cycle. Where do the candidates stand? In the new Learn Liberty video below, George Mason University Professor Donald Boudreaux addresses where […]
The presidential campaign has brought up several economic issues, and international trade has been front and center of the debate. So, as I look at my Donald Trump tie that was made in China and my Donald Trump shirts that were made in Bangladesh and Indonesia, I want to clarify some basic economic concepts dealing […]
Today is Cinco de Mayo, which celebrates Mexico’s unlikely victory against its French occupiers in the Battle of Puebla on May 5, 1862. The holiday is usually associated with festivities celebrating Mexico’s incredible culture. But numerous historians believe there’s an added reason to celebrate this day: If Mexico hadn’t won this battle, they argue, the […]
What do we learn if immigrants lower the wages of American high school dropouts? That we should restrict immigration? No. We shouldn’t. First, if immigrants reduce the wages of high school dropouts, it sends a very clear message: don’t drop out of high school. Indeed, this is how people have responded to competitive pressure from […]
This post by Professor Steve Horwtiz originally appeared on the Foundation for Economic Education’s blog back in November of 2015. The following are excerpts. What Menger and others argued was that value is subjective. That is, the value of a good is not determined by the physical inputs, including labor, that helped to create it. […]
In this video professor Don Boudreaux responds directly to commentator Robert Reich on the topic of wages, particularly the claim that middle class wages have stagnated in recent decades.
Bernie Sanders sure gets a lot of air time out of his class warfare rhetoric. Common arguments from him and his supports lead less knowledgeable people to believe that the middle class is at risk of an ever more exploitative wealthy elite. But is that true? Let’s take a look at just one of those […]