The Terrible News Economists Are Trying to Hide About American Jobs

[Warpy]

2. The only thing that will create jobs is raising wages.

It's counterintuitive, I know, which is why Republicans have a hard time grasping it, but there it is: higher wages stimulate demand (and a lot of pent up demand) and that demand promotes hiring, which means more people working, which spurs more demand and so on.

What the rich and the dumb have done time and again in capitalism is stifle demand while they try to scoop up all the cash. Then they sit and scratch their asses and tell each other how lazy poor folks (anyone who isn't them) are because so many of them are unemployed. They begin to play numbers games to suck every single dime out of the economy while investing in nothing.

That's where we are now.

Usually there is a revolution of some sort. I just hope ours is peaceful and raising wages is the first step.