Neumark vs Dube, my favorite sassy twitter economics duel

Water can easily flow up a hill if there is enough pressure from another (capital) hill.

Great video and explaination! +1 subscriber!

the content we needed

Great explanation of a concept that is really not intuitive! Keep it up!

if you cant make a profit paying your workers the minimum wage, then maybe that business shouldn't exists?

is anyone else tired of ideas that we can't openly debate because people lose their temper and start shouting and getting violent over mere words? For example, a debate about whether public schools are effective/good/better than private schools? This debate always turns into crying and shouting "you just hate poor kids!!!" or something. Or the controversial idea in Psychology of Nature Vs Nurture? This always turns into "You're just being a scientific racist!!" We will always have problems in society that we can not fix or resolve or warn our kids about unless we tell the truth. The lie will always have a cost.

How do you not have more subscribers??

The better argument here is that, while price controls are bad, they can create better results when there are other market failures like monopoly or monopsony. I reckon if we reduce the margin between cost of employment and pay, aka income and payroll taxes, and decrease the complexity involved in being an employer, far more people would hire workers to do labor, decreasing the monopsony control and creating a better market for laborers. I’m a Georgist, so I think we should replace the lost tax revenue with an lvt, but the real problem are the transaction taxes and the compliance costs imo.

If creating more jobs made more income, companies would do it when wages were lower. Also it wasn't mentioned low skilled workers are fired because they don't make as much money as the rest. But even in the few exceptions when minimum wage doesn't destroy the social mobility of the poorest, it still hurts normal people by raising the price of work, therefore the price of everything.

That the minimum wage was ever contested is an indictment of all of economics IMO. The big factor is almost never "if a worker produces more than they are paid". Even in extremely unskilled jobs for well over 100 years now that has been true by several multiples. A person stocking the shelves 80 years ago produced vastly more value than they were paid. Which means increasing the minimum wage will not drive down employment, unless you raise it to some astronomical number. But economics is LOADED with assumptions they are blissfully unaware of. Like that comodities that are required for life have elastic demand.