There was a fascinating editorial in the Wall Street Journal on July 31, 2014 by

Question

There was a fascinating editorial in the Wall Street Journal on July 31, 2014 by Neel Kashkari, Republican candidate for Governor of California, who recently tried finding a job in Fresno, posing as a homeless guy. You should read it! Since the WSJ is behind a paywall, I looked around and found a free copy of the editorial for you to read on U Cal Economics Professor Brad DeLong's blog, here: http://delong.typepad.com/sdj/2014/07/neel-kashkari-says-low-employment-not-due-to-skill-mismatch-or-structural-factors-live-from-the-roasterie-ccxxx-july-31.html. This comes along with DeLong's commentary on the editorial, which you can ignore or think about as you like. (DeLong is a respected economist with strong slightly left-of-center views that he defends vigorously and sometimes obnoxiously.) Do you agree with Kashkari's conclusion that most poor and homeless people really want to work? What about DeLong's conclusion that our current unemployment problems are not structural but cyclical, and that fiscal stimulus is the solution?

Explanation / Answer

The article revolves around the structural factors that really lead to jobless in the society. Though humans like to work for their livelihood, the structural factors in the society like economics scarcity results in jobless situation for them. By the help of some socially oriented higher class people there can be some changes but still the overall picture remains same. Money get keeps on rotate within some class of society and economic disparity is a serious issue everywhere.

Do you agree with Kashkari's conclusion that most poor and homeless people really want to work?

Yes, I do agree to the point. They really wan to work to improve the life standards. But all the structural factors cause hindrance for their growth. The wage structure is pathetic. Their life is miserable because they are not getting paid as their skill set.

What about DeLong's conclusion that our current unemployment problems are not structural but cyclical, and that fiscal stimulus is the solution?

Current unemployment cannot be eradicated within an overnight He explained the root cause like all those situation is just because of so many internal and external factors. Cyclical situations of economic imbalance and fiscal stimulus. We need more fiscal, banking stimulus. Its a kind of chain reaction were everyone fall under those same root.Cumulative efforts from all class of society is required to have some positive changes in these situation.

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