5 Things You Need to Know about Rent Control.
The Politics: Kamala Harris is making a plan for “Holding Corporations Accountable for Pay Inequality in America” a plank of her presidential campaign. She says it’s about #EqualPayforEqualWork, but by calling for pay for the women’s soccer players - who clearly do not perform the same job as men’s soccer players - casts her sincerity into question.
The Data: Even Vox.com admits that the gender pay gap is primarily a “working mother” pay gap. In Vox’s Netflix original series, “Explained,” Veronique explains that the $0.79 number you always hear about tells you almost nothing, and disputes the characterization of the gap as a “penalty” for women who chose to have children rather than working the hours men tend to work.
The Theory: In 1957, Chicago-school economist Gary Becker explained how the market punishes arbitrary discrimination through competition in The Economics of Discrimination.
The Unintended Consequences: Anti-discrimination legislation often has unintended consequences, such as discouraging employers from hiring people around the age when they are likely to have children.
A Quote to ponder:
“In a free market, the owner has the legal right to hire whomever he wants. After all, it’s his restaurant, and the wages he pays are (initially) his property. But if he allows nepotism to influence his hiring decision, he suffers an implicit fine of $1.50 per hour. He makes less money if he makes employment decisions based on factors, such as family relationships, that have nothing to do with the job.”
Elizabeth Warren’s Socialist Dogwhistle, Aug. 2018, with Richard Epstein
Crime Down: Prison Costs Up, July 2014, with Veronique de Rugy