The brilliant economist John C. Goodman is out with another brilliant column. This one about the foolishness of minimum wage laws. See here. : To summarize: a firm that pays workers more than they are worth cannot survive because it cannot match the prices and the rate of return to investors of its rivals. A …
Tag: John C. Goodman
Aug 15
New Study: For Every New Dollar a College Receives in Student Loans, a College Raises its Tuition by 65 Cents
We all know that the Federal Student Loan Program has driven up college tuition costs because the Program subsidizes artificial demand. Now a New York Fed study has found that: for every new dollar a college receives in Direct Subsidized Loans, a school raises its price by 65 cents. For every dollar in Pell Grants, …
