Fred Siegmund

Low Wages and Minimum Wages

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A recent article in The Washington Post (“For low-wage workers, unprecedented anxiety“) interviewed people with low wage jobs. It was not a surprise to find them anxious since today’s low wage jobs come and go and do not buy more than basic necessities anyway. One of those interviewed had a new job working at an airport helping […]

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Words of Advice on Job Experience

Many job seekers know the phrase “We’re looking for someone with more experience.” It might be true, but there are reasons to be suspicious it’s just an excuse in order to have an easy way to end an interview. A few years ago, the Bureau of Labor Statistics expanded their classification of occupational education and training […]

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The Debt Ceiling and Government Default

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Congress has passed debt ceiling legislation for many years pandering to voters who worry debt is a sin, or a symbol of excess, or will bring an economic collapse. As the economy grows, debt grows, creating a repeated cycle of debt ceiling votes. Taking a vote gives a minority of politicians an opportunity to make […]

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Minimum Wages in Washington, D.C is All Politics and PR

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The District of Columbia City Council recently passed the Large Retailer Accountability Act that the mayor still needs to sign. As part of the bill, retailers who are part of a larger company with revenue over $1 billion per year and occupy more than 75,000 feet of retail space, would be expected to pay all […]

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Federal Taxes and Horizontal Equity

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Taxes should be fair and horizontal equity defines one principle of tax fairness. It means economic equals should be taxed an equal amount. Horizontal equity applied to taxes on $50,000 of income assures all those who earn $50,000 of income pay the same tax. Taxation that treats equals equally avoids giving preferences to different sources […]

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Review: Nate Silver’s “The Signal and the Noise: Why So Many Predictions Fail And Some Don’t”

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Nate Silver gained national attention with a forecasting system he developed in 2003 called PECOTA. He used baseball data to forecast the performance of major league baseball players. It was very successful and the attention he got allowed him the time and money to expand his interests into other areas and write us a thoughtful […]

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Inflation and Wages from 2006 to 2012

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News of college graduates struggling to pay student loans draws attention to wages. College graduates who cannot find jobs using their college degree skills add to the pool of labor looking for already low wage jobs, potentially lowering wages and buying power even more. Wages need to keep up with inflation to assure Americans can […]

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Is There A Manufacturing Skills Gap?

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President Carter’s domestic policy advisor, Stuart Eizenstat, and Robert Lerman, an Urban Institute Fellow, claim there is a skills gap in manufacturing that threatens America’s manufacturing comeback (“Bring back the apprentice”, Washington Post, May 5, 2013). Readers are asked to accept a citation from an unnamed survey that claims 600,000 jobs go unfilled because the […]

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The New Minimum Wage Proposal

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The Obama Administration recently proposed an increase in the minimum wage to $9.00 an hour. The current minimum continues at $7.25 an hour where it has been since July 24th 2009, the date of the last of three planned increases passed by Congress. The proposed increase is a little over 24 percent over the three […]

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Flaws in the American Health Care System

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Recently, the Obama Administration announced the time has arrived to appoint health care experts to an Independent Payment Advisory Board as part of its duties under the Affordable Care Act. The legislation gives the advisory board authority to change Medicare reimbursements for doctors and determine new ways to deliver quality health care. However, the flaws […]

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Does Cutting Unemployment Benefits Increase the Supply of Labor?

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A Washington Post article (“N.C. looks to cut jobless benefits” 2/13/13) describes cuts in unemployment benefits as a drastic proposal from North Carolina lawmakers. Under the new plan, benefits would drop from 26 weeks to 20 and the maximum benefits from $535 a week to $350. The governor believes they have little choice because they have […]

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In Virginia, the Sky is Falling

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In the Chicken Little folk tale, Chicken Little and his friends Henny Penny, Lucky Ducky and Foxey Loxey becomes hysterical when they all agree the sky is falling. In Virginia, delegate Robert G. Marshall believes the Federal Reserve Bank will bring financial hysteria with hyperinflation like Germany after WWI. He wants to protect Virginians by […]

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The Final Stats on Jobs in 2012

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The Bureau of Labor Statistics published its January report showing a seasonally adjusted December increase of 155,000 jobs. The increase for the 12 months ending December 2012 is 1.836 million jobs, a respectable – but hardly spectacular – increase for the year. The job totals for 2012 will be subject to review and possible revision […]

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