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But calls have gone out from Arbejderbevægelsens Erhvervsråd1 saying that this is A Very Bad Idea, because the problem is not with competitiveness, it is with a lack of demand, which is not solved by wage cuts - quite the contrary, they make things worse. (Translation into ET-speak: This is a demand-side crisis, and trying to solve it with supply-side policies is - at best - a beggar-thy-neighbour strategy.)
- Jake
1) AE-rådet are the serious people employed by the labour unions to try to spread a little sanity in public debate. Friends come and go. Enemies accumulate.
this is A Very Bad Idea, because the problem is not with competitiveness, it is with a lack of demand, which is not solved by wage cuts - quite the contrary, they make things worse
Skilled labour is another story.
Still, it's nothing that higher unemployment subsidies cannot solve.
- Jake Friends come and go. Enemies accumulate.
Wages per hour will not be reduced by this plan. Peak oil is not an energy crisis. It is a liquid fuel crisis.
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