Krugman's Concern for the Long-Term UnemployedSubmitted by MarcMadness on Mon, 04/22/2013 - 12:09
Folks, we at Lions of Liberty are very excited to add our newest contributor - Chris Rossini! Here is his debut post on Krugman's concern for the long-term unemployed.
Paul Krugman is getting a bit concerned about the long-term unemployment problem in the U.S.:
The key question is whether workers who have been unemployed for a long time eventually come to be seen as unemployable, tainted goods that nobody will buy. This could happen because their work skills atrophy, but a more likely reason is that potential employers assume that something must be wrong with people who can’t find a job, even if the real reason is simply the terrible economy. And there is, unfortunately, growing evidence that the tainting of the long-term unemployed is happening as we speak.
What can be done?
Well, the first thing is for policy makers to stop listening to Krugman and his ilk. They always and everywhere want to perpetuate the situation with more government “solutions”.
Here are some sound steps that can be taken to get people off the couch and into the marketplace, where they can serve their fellow man:
End The Fed : And end must be put to the engine that creates unemployment en masse via its boom/bust cycles. The unemployed are then kicked while they’re down by the sneaky theft of their purchasing power.
Abolish The Minimum Wage : Government can create as much unemployment as it wants simply by raising the minimum wage. The minimum wage outlaws jobs. If you’re low-skilled, poor, or a teenager (i.e., the target of Krugman’s generosity) you’re forced into unemployment. The government has prohibited you from making a contract with a potential employer that may entail a wage under the government’s arbitrary minimum. Let private individuals freely contract and unemployment will shrink.