Robert Pollin, economics and co-director of the Political Economy Research Institute, is interviewed about what he thinks President Obama can do about climate change and the environment even in the face of opposition from the Republican-controlled Congress. He also says Obama didn’t say much about climate change in his State of the Union speech. (The Real News Network, 1/22/15)
Day: January 23, 2015
Researchers from the Political Economy Research Institute (PERI) at UMass Amherst have released a working paper verifying the ability of American fast food restaurants to more than double the minimum wage of their lowest paid workers to $15 an hour over a four-year period without causing the widespread employment losses and decline in profits often cited by critics of such increases. Using data gathered from previous studies and U.S. Economic Census reports, economists Robert Pollin and Jeannette Wicks-Lim have found that at the standard rate of industry sales growth the savings from a decrease in workforce turnover added to revenue generated from moderate annual 3 percent price increases could support a two-stage increase in the minimum wage from its current level of $7.25, first to $10.50 and then to $15 three years later. (Consumeraffairs.com, 1/23/15; NBC News, Myarklamiss.com, 1/22/15; News Office release)
The research of Arindrajit Dube is cited in a news story about why some economists argue that the minimum wage needs to be increased. Dube conducted a study in 2007 that showed when workers in the San Francisco area were given a higher minimum wage they were more likely to stay with their employers. (Newsweek, 1/18/15)
Nancy Folbre, emerita professor of economics, comments in a story about the high cost of having a baby. She says many couples either buy larger houses before a baby is born or move to a bigger house once the baby arrives. They may also move in order to be in a community with better schools. In both cases, the couple sees housing costs increase as part of having the new child, she says. (Ehow.com, 1/22/15)