In April 2024, California implemented the FAST Act, which increased the minimum wage for fast-food workers from $16 to $20 per hour. Firms reduced hours, limited hiring, and substituted capital for labor.—callmatters.org The Questions What is FAST Act and what does it do? How has FAST Act changed the quantity of labor demanded in California’s … Continue reading California’s $20 Minimum Wage: More Applicants, Fewer Jobs
Month: March 2026
Fast Food Wage Policy
In California, the FAST Act set the minimum wage at $20 per hour for fast-food workers.—calmatters.org
Live Nation’s U.S. Monopoly Case
Live Nation dominates the live event ticket market and charges exorbitant fees partly because many venues must arrange ticket sales through its platform. A government settlement now requires venues to be free to work with other ticketing companies. —ft.com
China’s Output Gap
Analysts say China’s economy is producing less than it could if labor and capital were fully employed. To close this gap in 2026, China’s economy would need to grow by more than 5.3 percent.—economist.com China’s Real GDP According to the National Bureau of Statistics of China, the country’s annual real GDP reached approximately 140 trillion … Continue reading China’s Output Gap
The Strait of Hormuz and the Global Oil Market
War in the Middle East has severely reduced tanker traffic through the Strait of Hormuz, a route that carries about one-fifth of the world’s oil, raising fears that Iran could close the vital oil shipping route. —bbc.com
Production Possibilities Frontier and War
War between Israel, the United States, and Iran has damaged civilian infrastructure and killed civilians as missile and drone attacks spread across the Middle East.—ft.com Assumption: The world economy uses all available resources.
Coal Electricity and Pollution
In 2012, the EPA introduced Mercury and Air Toxics Standards (MATS), which require pollution-control equipment to limit toxic air pollution from coal power plants. In 2026, the EPA proposed repealing parts of MATS, saying the rules raise electricity costs and limit supply. Critics warn that removing the rules will harm public health.—eia.gov and wri.org