Weekly Econ Articles
Million Dollar Salaries, Pet Donations, and the Cost of Getting to the Airport Early
Labor Market and Unemployment News:
At $250 million, top AI salaries dwarf those of the Manhattan Project and the Space Race | Ars Technica
Historical comparisons for salaries show the dramatic divergence between the anticipated MPL of the hottest AI talent of today and some of the brightest minds of the past–developers of the atomic bomb, transistor, and even the moon landing.
Tesla gives CEO Elon Musk a $29 billion stock award | Quartz
Economists see CEO pay as a tool to solve the principal-agent problem—aligning the interests of shareholders (principals) with those of the CEO (agent). But designing the “right” incentives is tricky. How much should you pay a CEO who hasn’t earned real compensation since 2017, has multiple side projects, and recently had his pay package voided by a judge—especially when you want him to start focusing more on your company’s problems?
Boeing’s second strike in less than a year begins at three defense plants | CNN Business
Boeing offered 40% raises to workers at its unionized defense plants, but workers rejected the deal and began striking Monday. Although Boeing indicated it would move some work to non-unionized plants during the strike, the loss of productivity will likely weigh on the already financially beleaguered airplane manufacturer.
The jobs data revisions that cost a US government statistician her job | Yahoo (Reuters)
How did the data revisions published by the BLS Friday morning compare to previous revisions?
Want an explainer on why the BLS revises its jobs report? Check out What’s Going on with the Jobs Numbers? by Jadrian Wooten.
Other Recent News:
Fiscal Policy, Taxes, and Government Budgets: Trump’s tariffs are bringing in tens of billions of dollars a month. What’s the government doing with all that money? | CNN Business
US tariff revenue is up 242% from last year, with nearly $30 billion collected last month. Should that money pay down the debt or be turned into “tariff rebate checks”?
Intro to Econ: Denmark zoo asks public to donate unwanted small pets or horses to feed captive predators | CBS News
Like everyone else on the planet, zoos face scarce resources. Looking to maximize utility given their budget constraint, one Denmark zoo posted a request for pet donations, chickens, guinea pigs, even horses–to feed whole prey to its predators.
Intro to Econ: $83 Billion Wasted: Showing Up At The Airport 3 Hours Before Your Flight Is A System Failure No One’s Trying To Fix | View from the Wing
The collective opportunity cost of arriving to the airport 3 hours early is a whopping $83 billion, the equivalent of 3 years of NASA’s annual budget. Time is a valuable resource.