House of Paine

score one for ever rising nominal wages

  i've had enough
of this 
neo job flex boss style fantasy mongering

its not anymore a panacea then

the neo price flex bull
back in the deep dark 30's 


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to me as a card carrying commie 

theres a fruitful analogy
to be made
between downward job rigidity 
and downward
price/wage rigidity 
and we can live with both ....

the long over flogged euro job tenure 
system 
often gets 
boiled down to this
iron law of dismality 


high job security -> high job scarcity 

i think this 
fails to address 
the macro policy elements 
in a phrase
the unchallenged "reality "
of 
tepid job growth 

obviously
theres a well nurtured
phobia 
against real wage rate adjustment 
by means of price level change 

"oh god the 70's disease "

vide the fabled "german bankers "

but society can be liberated
from certain " trade offs and limits" 

if the sine qua non aspect
of a policy pardigm gets questioned

here job markets can get
to look like 
commodity markets 

real production and inventory levels 
are more easily optimized 
in a price level rising regime 
long as its.... fast enough
to allow relative prices to adjust fully 
so real quantitiesremain at max 
one avoids both the scylla of 
impossibly large reductions 
in absolute prices
and the other scylla
of aweful lay offs 

so how is this not applicableto jobs

an adequately rising employment level
will create not only 
incentives for mobility
thru relative wage rate effects 

but more basically and directly 
will allow absolute staffing levels to adjust thru "spontaneous" turn over not lay offs