@Noahpinion who do you think is right?

@ModeledBehavior @Noahpinion "wages are largely determined by how powerful workers are"? This is an argument we should take seriously?

@adamgurri @ModeledBehavior That's a core element of a lot of search models of the labor market.

@Noahpinion @adamgurri power matters, but diff btwn wages in 1900 and today is mostly more power or higher productivity?

@ModeledBehavior @adamgurri Up until 1980 it was productivity. Since then, productivity and wages have diverged utterly. Weird.

@Noahpinion @adamgurri if we raised min wage to be equal to prod gains it'd be $20. What would jobs impact be? And what does that tell u?

@ModeledBehavior @adamgurri It would probably be about half of what you'd predict from a model where W=MP...

@Noahpinion I stopped at 'De Beers cartel' determining diamond prices. That's just stupid

@DoubleEph @Noahpinion No, it's a thoroughly documented historical fact.

@dandelionscrews @Noahpinion And of course I assume you use the word 'fact' loosely? Surely you do

@DoubleEph @Noahpinion There have been books on various aspects of deBeers, inc. marketing strategy re:wedding rings. Extensively covered.

@dandelionscrews @Noahpinion Wait, marketing strategy to increase the price of your product is cartel behaviour? Sigh

@DoubleEph @Noahpinion No, but an example of the cultural weight wielded by this particular cartel.

@dandelionscrews @Noahpinion This 'cartel' being one you don't particularly like or agree with. There will be diamonds after them