Via Greg Mankiw:
... [Keynesians claim] aggregate demand is the only thing you need to worry about during downturns. Changes in aggregate supply ... don't matter, they argue, because employment is being constrained by the low level of aggregate demand.
... Casey points out that there is a regular surge in teenage employment during the summer months because more teenagers are available to work (that is, the supply of their labor has increased). That is no surprise: It is normal supply and demand in action.
The chart tells the story.
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