3 ms·

I think it would have made more sense for Krugman to frame this as an argument for a new Scottish currency: his point is that * a currency union without a poli

by scythe 12y ago

I think it would have made more sense for Krugman to frame this as an argument for a new Scottish currency: his point is that * a currency union without a political union is bound to cause problems if you wait long enough * history shows us that nobody is willing to fix the currency until it's too late So it would be better if Scotland avoids starting on the wrong track by simply creating a currency. As he states, though, the Scottish secessionists are bound and determined to go the wrong way... (Side note: Labor productivity is lower in Canada, but something tells me that working hours are shorter and vacations longer...)

thret 12y ago
I thought that odd too: surely lower labor productivity in a prosperous nation is a positive indicator of a higher quality of life.
- api 12y ago
  Canada has a lot of oil and other natural resources in proportion to its population. I suspect this underwrites a lot of their high standard of living vs. labor intensiveness. I'm not sure nations that don't have that kind of cash cow can do what Canada does.
guyzero 12y ago
Working hours and paid vacation days are roughly similar between Canada and the US. Canada is no France. Specifically, Canada ranks 3rd last in paid vacations: http://www.cbc.ca/news/canada/canada-ranks-3rd-last-in-paid-vacations-1.1306523 http://www.cbc.ca/news/canada/canada-ranks-3rd-last-in-paid-... Average annual hours worked, per worker: Canada, 1706; US, 1788 or only 4.5% less, compared to France at 1489. (http://stats.oecd.org/Index.aspx?DatasetCode=ANHRS http://stats.oecd.org/Index.aspx?DatasetCode=ANHRS)
alistairSH 12y ago
Scotland can't create a currency if they desire to join the EU. Current rules don't allow any more UK/Denmark-style currency exemptions. It appears that Scotland's options would be: - retain the Pound Sterling, not sure about EU membership - Euro, with EU membership - new currency, but without EU membership

by scythe 12y ago

thret 12y ago

I thought that odd too: surely lower labor productivity in a prosperous nation is a positive indicator of a higher quality of life.

api 12y ago
Canada has a lot of oil and other natural resources in proportion to its population. I suspect this underwrites a lot of their high standard of living vs. labor intensiveness. I'm not sure nations that don't have that kind of cash cow can do what Canada does.

guyzero 12y ago

Working hours and paid vacation days are roughly similar between Canada and the US. Canada is no France. Specifically, Canada ranks 3rd last in paid vacations: http://www.cbc.ca/news/canada/canada-ranks-3rd-last-in-paid-vacations-1.1306523 http://www.cbc.ca/news/canada/canada-ranks-3rd-last-in-paid-... Average annual hours worked, per worker: Canada, 1706; US, 1788 or only 4.5% less, compared to France at 1489. (http://stats.oecd.org/Index.aspx?DatasetCode=ANHRS http://stats.oecd.org/Index.aspx?DatasetCode=ANHRS)

alistairSH 12y ago

Scotland can't create a currency if they desire to join the EU. Current rules don't allow any more UK/Denmark-style currency exemptions. It appears that Scotland's options would be: - retain the Pound Sterling, not sure about EU membership - Euro, with EU membership - new currency, but without EU membership