Comment by NicholasAndresen (NicholasAlexander) on Six economics misconceptions of mine which I've resolved over the last few years · 2020-07-20T07:45:03.516Z · LW · GW

Agreed! Thanks, that is certainly the caveat I would add. In real world, monopsonies are however rare to nonexistent

Comment by NicholasAndresen (NicholasAlexander) on Six economics misconceptions of mine which I've resolved over the last few years · 2020-07-17T08:00:10.107Z · LW · GW

This hypothetical is more an analysis on the constraints (monopoly employer, closed system, static labor supply / demand, static prices) than on the effect of the minimum wage on consumption. It ignores that the minimum wage harms both employers and employees that would be hired absent a minimum wage.

A minimum wage will be inefficient in all situations relative to a taxing more inelastic economic activity and redistributing the proceeds.