It does seem possible that welfare changes workers’ wage preferences and allows Walmart to attract laborers for less money though, doesn’t it?
This seems implausible. If anything, I would expect taking away governent benefits to make people more desperate and more willing to work for low wages.
That implies low-wage workers have the bargaining power to exercise preferences regarding their wages.
It does seem possible that welfare changes workers’ wage preferences and allows Walmart to attract laborers for less money though, doesn’t it?
This seems implausible. If anything, I would expect taking away governent benefits to make people more desperate and more willing to work for low wages.
That implies low-wage workers have the bargaining power to exercise preferences regarding their wages.