"Opposition to higher minimum wage laws is increasingly based in ideology and orthodoxy rather than real-world evidence, economists say."
The article does not make a persuasive argument or provide any relevant data to prove this point. At best there are quotes from two economists and takes that as consensus. I would want to see at least a longitudinal survey of those who oppose the minimum wage and why in order to make that statement.
I didn't say that monopsonies did not exist, but that they are extremely rare. I think that "many companies enjoy a monopsony on local labor which distorts the traditional relationship between supply and demand" would be considered a fringe opinion by most professional economists. Even the article you've linked does not agree with that statement.
"Monopsony does not appear to have been important in company mining towns, a standard textbook example, or in markets for teachers and nurses, early suspects. In fact, the largest plausible estimates of monopsony exploitation to date are not for blue-collar workers but rather for professional athletes and possibly college professors."
Information dictates the efficiency of markets not their ability to exist. In reality there are plenty of asymmetries that can exist within functional markets. Trade secrets for example, are quite common in industry and give advantage to firms that can keep them. Markets can develop in surprising places, for example kidnapping is a surprisingly orderly business when you consider the circumstances.
"Opposition to higher minimum wage laws is increasingly based in ideology and orthodoxy rather than real-world evidence, economists say."
The article does not make a persuasive argument or provide any relevant data to prove this point. At best there are quotes from two economists and takes that as consensus. I would want to see at least a longitudinal survey of those who oppose the minimum wage and why in order to make that statement.
I didn't say that monopsonies did not exist, but that they are extremely rare. I think that "many companies enjoy a monopsony on local labor which distorts the traditional relationship between supply and demand" would be considered a fringe opinion by most professional economists. Even the article you've linked does not agree with that statement.
"Monopsony does not appear to have been important in company mining towns, a standard textbook example, or in markets for teachers and nurses, early suspects. In fact, the largest plausible estimates of monopsony exploitation to date are not for blue-collar workers but rather for professional athletes and possibly college professors."
Information dictates the efficiency of markets not their ability to exist. In reality there are plenty of asymmetries that can exist within functional markets. Trade secrets for example, are quite common in industry and give advantage to firms that can keep them. Markets can develop in surprising places, for example kidnapping is a surprisingly orderly business when you consider the circumstances.