Our economy uses a lot less labor than it did 10 years ago, and for good reason people are interested in the relative importance of supply and demand factors for explaining what happened to the quantity of labor. Naturally, a supply-demand decomposition exercise is enhanced by looking at both the quantity and price of labor, […]
Read MoreIt is easy to exaggerate the importance of economic ideas in shaping public policy. The United States’ move to an all-volunteer army is a good example. Public policies change over time, as with the emergence of the income tax early in the 20th century, deregulation of airlines and banking and the recruiting methods of the […]
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