Friday, September 19, 2014

Krugman: John Boehner’s Theory of the Leisure Class

Every once in a while, I see someone on Facebook post a reference to this.  I thought Paul Krugman's explanation about why this is a fictional scenario was well put, so here it is.

John Boehner says that unemployed Americans are pretty clearly malingerers, bums on welfare who have decided that they don’t feel like working:
“This idea that has been born, maybe out of the economy over the last couple years, that you know, I really don’t have to work. I don’t really want to do this. I think I’d rather just sit around. This is a very sick idea for our country,” he said.
“If you wanted something you worked for it,” Boehner said, adding, “Trust me, I did it all.”
I could point to the overwhelming economic evidence that nothing like this is happening — after all, if what we were seeing was a mass withdrawal of labor supply, we should be seeing wages for those still willing to work taking off. What we actually see is this:
Photo
Credit

I could also point to zero interest rates and low inflation as evidence that we’re living in a demand-constrained economy. I could ask how, exactly, Boehner believes that increased willingness to work would conjure more jobs into existence.
But what really gets me here is the fact that people like Boehner are so obviously disconnected from the lived experience of ordinary workers. I mean, I live a pretty rarefied existence, with job security and a nice income and a generally upscale social set — but even so I know a fair number of people who have spent months or years in desperate search of jobs that still aren’t there. How cut off (or oblivious) can someone be who thinks that it’s just because they don’t want to work?
When I see stuff like this, I always think of the opening of The Treasure of the Sierra Madre:
Anyone who is willing to work and is serious about it will certainly find a job. Only you must not go to the man who tells you this, for he has no job to offer and doesn’t know anyone who knows of a vacancy. This is exactly the reason why he gives you such generous advice, out of brotherly love, and to demonstrate how little he knows the world.

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