A long pondered but only lately realized blog about economics, politics, evaluation, econometrics, academia, college football and whatever else comes to mind.
Thursday, August 18, 2011
Richard Epstein on the strike by the Communications Workers of America. The analogy to regulated utilities is a useful one, and it had never before struck me to think of strikes and lockouts as generators of negative externalities (i.e. costs imposed on innocent third parties) that are not compensated. Surely the optimal response is to tax those, namely the firms and unions, who generate the externalities?