Daily Clips: May 26th, 2016
Marijuana smuggling is declining in the the era of legal weed: Good news for marijuana advocates, who often combat with the idea that interstate smuggling has increased since Washington and Colorado legalized the devil’s lettuce.
Econ 101ism, overtime pay edition: The Noahpinion blog has put out an excellent piece on overtime and how critics of the rule have responded. He writes:
In the Econ 101 model of labor supply and demand, there’s no distinction between the extensive and the intensive margin – hiring the same number of employees for fewer hours each is exactly the same as hiring fewer employees for the same number of hours each. But with overtime rules, those two are obviously not the same. For a given base wage, under overtime rules, hiring 100 workers for 40 hours each is cheaper than hiring 40 workers for 100 hours each, even though the total number of labor hours is the same. That breaks the 101 model.
Immigration isn’t that bad for native workers: Some may find this headline (and article) surprising, but this conclusion follows from a lot of research. Indeed: These and other surveys and meta-analyses all reach one overwhelming conclusion: “Immigration has at most only a small harmful effect on the native-born.”
Tweet of the day:
Political science and history classes will spend years studying the Trump phenomenon as will communications and journalism classes
— Newt Gingrich (@newtgingrich) May 26, 2016