Shame...

[jeff47]

38. Pointing to the same wrong things does not make them right.

My background is engineering. I deal a lot with lean manufacturing and cost reduction of production. I am not an economics major, but have a very strong math background and apply that in areas that we are discussing here.

Ok, so if I kept insisting that steel is weaker than balsa, would that make me right?

If you put a steel plate and an equal sized piece of balsa wood on a desk and showed the balsa broke first, that would show I was wrong, correct? Shouldn't I change my theory when I am shown to be wrong?

Well, states that increased their minimum wage do not experience inflation. Happened in the 90s, the 00s and it's starting to happen again. Why are you continuing to insist that increasing the minimum wage causes inflation?

Rents are definitely higher in areas with higher wages, at least in the places I have lived. Unless you can come up with real numbers we will be at a stand-off here as I have not supplied real numbers either.

http://backtofullemployment.org/2013/01/18/minimum-wage-hikes-do-not-cause-inflation/

A nice, accessible blog post to start with that covers today's economy. But what I'm talking about is what happened in the 90s and the 00s, where many states raised their minimum wage above the federal minimum, yet did not experience inflation.

Walk through some malls and warehouse stores. Really look around at the massive amounts of "stuff" that is out there. Tell me we are not overproducing with a straight face.

Yeah....you really, really do not understand basic economics.

An economy at full capacity would mean those warehouses were empty. Because factories could not produce any more stuff. In an economy at full capacity, unemployment is about 2% (there's always a little turnover). Our unemployment is 7.3%. An economy at full capacity looks like the US in the mid 1990s. We look nothing like that.

There's a ton of shit in warehouses because too many people are underpaid. Pay more, and those warehouses empty. Guess what raising the minimum wage does?