The Congressional Budget Office reported today that the Affordable Care Act will shrink the American workforce by 2.5 million by 2024, not as a result of employers shedding jobs but because more people will choose not to work or "work fewer hours than they might have otherwise to obtain employer-provided insurance."
President Obama is starting a two-day bus tour of college campuses today to talk about his proposal for making colleges more affordable. The gist of the proposal is a new college rankings system based on metrics like graduation rates and earnings of graduates and tying financial aid to the best performing colleges.
Tyler Cowen had the opportunity to try out 23andMe, the genetic testing company that uses a swab of your saliva to tell you things like inherited traits, genealogy and possible congenital risk factors. It's backed by Google co-founder Sergey Brin, and advertisements have been everywhere (you may have heard about it on a radio program, or on an internet ad). Cowen's main reasons for turning down the opportunity were "worry cost" (worrying about potential negative information he'd receive), and some privacy concerns (allowing a privately held company to store information about his genetic data).
My favorite foodie economist Tyler Cowen argues today that you shouldn't judge a restaurant that doesn't have long lines or tends to be empty because those two things are not always indicators that a place is actually good. I usually eat at places based on recommendations from friends or from reviews I've read, and those places have been generally busy. And dining in an empty restaurant can feel strange—Why is it so empty, you think or whisper to your dining companion, and then crack a joke about money laundering. I'm going to conduct an experiment in which I eat at one of the more empty restaurants in my neighborhood. I'm sure it'll be fine, maybe even great.
Our health care system needs reforming—we can all agree on that. What we can't agree on is how to go about doing it. Tyler Cowen made a list of some options for health care coverage reform.
Charts! We love them. We've talked a lot about how low wage jobs have overwhelmingly replaced the mid-wage jobs lost during the financial crisis. Data from the National Employment Law Project shows this, and new data from Goldman Sachs and the Department of Labor also supports this. More importantly the Goldman Sachs reports shows that the "hollowing out in the middle is real, it is not unique to the post-crisis period," which means that we can't just blame this on the financial crisis—there has been rapid growth in the low-wage sector since the booming '90s.