tag:blogger.com,1999:blog-8537995.post115618155590003076..comments2023-10-29T10:54:58.681-04:00Comments on Vox Baby: Show Me the ... MechanismAndrewhttp://www.blogger.com/profile/13514024573333057559noreply@blogger.comBlogger11125tag:blogger.com,1999:blog-8537995.post-8678694794112291802007-03-12T02:42:00.000-04:002007-03-12T02:42:00.000-04:00This comment has been removed by a blog administrator.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8537995.post-77111009395678884352007-02-05T22:33:00.000-05:002007-02-05T22:33:00.000-05:00This comment has been removed by a blog administrator.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8537995.post-1156276779600076082006-08-22T15:59:00.000-04:002006-08-22T15:59:00.000-04:00James Galbraith claims in his book "Created Unequa...James Galbraith claims in his book "Created Unequal":<BR/><BR/><B>the jobless rate explains 80% of the fluctuations in inequality from 1920 to 1992.</B><BR/><BR/>The truth is that if you look at more "equal" societies such as in Old Europe (as measured by income distributions), they are actually not much more "equal" than the U.S. before tax redistribution, some are even less "equal" before Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8537995.post-1156203201856464792006-08-21T19:33:00.000-04:002006-08-21T19:33:00.000-04:00Btw, commenter JG at Mankiw's blog, reminds us wha...Btw, commenter JG at Mankiw's blog, reminds us what Krugman had to say about HIS high income when he had to defend himself for taking $50,000 from Enron:<BR/><BR/>"In 1998-1999 my normal fee for a one-hour business speech in Boston or New York was $20,000...<BR/><BR/>"I was a hot property, very much in demand as a speaker to business audiences: I was routinely offered as much as $50,000 to speak Patrick Sullivanhttps://www.blogger.com/profile/14948365865741313524noreply@blogger.comtag:blogger.com,1999:blog-8537995.post-1156199193694701192006-08-21T18:26:00.000-04:002006-08-21T18:26:00.000-04:00---They pay more now, with the top rate half that....---<BR/>They pay more now, with the top rate half that.<BR/>---<BR/><BR/>I understand that Al Capone also paid (or owed, as the case may be) a lot in taxes.eightnine2718281828mu5https://www.blogger.com/profile/10719758054708390064noreply@blogger.comtag:blogger.com,1999:blog-8537995.post-1156198881651029432006-08-21T18:21:00.000-04:002006-08-21T18:21:00.000-04:00Yglesias said:' When the top income tax rate was v...Yglesias said:<BR/><BR/>' When the top income tax rate was very high -- 70 percent or above -- this not only meant that rich people paid a lot in taxes...'<BR/><BR/>They pay more now, with the top rate half that.Patrick Sullivanhttps://www.blogger.com/profile/14948365865741313524noreply@blogger.comtag:blogger.com,1999:blog-8537995.post-1156196389564484892006-08-21T17:39:00.000-04:002006-08-21T17:39:00.000-04:00---do we think society would be better off?---Defi...---<BR/>do we think society would be better off?<BR/>---<BR/><BR/>Define 'better off'?<BR/><BR/>If gdp goes up 50%, but the bottom 60% lose money, is society better off?eightnine2718281828mu5https://www.blogger.com/profile/10719758054708390064noreply@blogger.comtag:blogger.com,1999:blog-8537995.post-1156195548119138562006-08-21T17:25:00.000-04:002006-08-21T17:25:00.000-04:00Spencer:It seems like this would be the explanatio...Spencer:<BR/><BR/>It seems like <A HREF="http://www.nber.org/papers/w7604" REL="nofollow">this</A> would be the explanation for CEO pay that would resonate with you.<BR/><BR/>Bibamus:<BR/><BR/>I guess you are not so predictable after all. I do seem to get animated when Krugman takes a swipe at a government official with a weak and incomplete conjecture. I do not presume to suggest that this is Andrewhttps://www.blogger.com/profile/13514024573333057559noreply@blogger.comtag:blogger.com,1999:blog-8537995.post-1156193876658120842006-08-21T16:57:00.000-04:002006-08-21T16:57:00.000-04:00Question:How can the equality gap ever be closed?C...Question:<BR/><BR/>How can the equality gap ever be closed?<BR/><BR/>Can anyone show a reasonable mechanism that would allow average wages to rise while CEO pay falls WITHOUT causing the fed to kill the economy?eightnine2718281828mu5https://www.blogger.com/profile/10719758054708390064noreply@blogger.comtag:blogger.com,1999:blog-8537995.post-1156193696404791882006-08-21T16:54:00.000-04:002006-08-21T16:54:00.000-04:00How about this mechanism:CEO gets 25% increase in ...How about this mechanism:<BR/><BR/>CEO gets 25% increase in pay; no response from the Fed.<BR/><BR/>Average wages rise by 3%; Fed hikes interest rates, kills economy, demand for labor falls, CEO lays off 15% of workforce, CEO gets another 25% raise for making the 'tough calls'. <BR/><BR/>Wash, rinse, repeat.<BR/><BR/>Longitudinal studies reveal that unemployed 50 year old worker with mortgage andeightnine2718281828mu5https://www.blogger.com/profile/10719758054708390064noreply@blogger.comtag:blogger.com,1999:blog-8537995.post-1156192443065505232006-08-21T16:34:00.000-04:002006-08-21T16:34:00.000-04:00From 1980 to 2003 the rise in the market PE accoun...From 1980 to 2003 the rise in the market PE accounted for over half the increse in the S&P 500 capitalization.<BR/><BR/>I would think that the Fed should get primary responsibility for that,<BR/>so why should corporate management be rewarded for something that played virtually no role in creating.<BR/><BR/>Moreover, the long term trend growth rate of S&P earnings per share since WW II has been 7%spencerhttps://www.blogger.com/profile/09040914017546442297noreply@blogger.com