Date: 2010-Apr-14, Wednesday 23:11 (UTC)
After seeing about a year of politicians making the facile comparison between national debt and household debt to explain why we can't go on borrowing, I'm not surprised by this. (Basic economics hint: they're not the same, regardless of what William Cobbett might say.)

Anyway, yes, in terms of simple economics NI will increase costs to employers/reduce wages to employees/decrease employment based on the demand elasticity of labour supply and demand. The supply of labour is fairly inelastic, it seems, which means that the reduction in jobs is fairly small, and employees take a hit on their wages instead.

I could probably manage to graph it; I think I just about remember that much from my Principle of Economics.
(will be screened)
(will be screened if not validated)
If you don't have an account you can create one now.
HTML doesn't work in the subject.
More info about formatting

If you are unable to use this captcha for any reason, please contact us by email at support@dreamwidth.org

Profile

matgb: Artwork of 19th century upper class anarchist, text: MatGB (Default)
Mat Bowles

September 2021

S M T W T F S
   1234
567 891011
12131415161718
19202122232425
2627282930  

Most Popular Tags

Style Credit

Expand Cut Tags

No cut tags
Page generated 2025-May-29, Thursday 13:49
Powered by Dreamwidth Studios