Eyes on the Politicized Prize

Source: American Institute for Economic Research
by Phillip W Magness

“The selection of economist David Card as co-recipient of the 2021 Nobel memorial prize for Economics has, curiously, revived an old story about a war of words from another laureate. According to this account, James M. Buchanan — the winner of the 1986 prize — allegedly denounced Card for finding empirical results that contradicted basic economic theory about the minimum wage. … Card and Krueger ‘found no indication that the rise in the minimum wage reduced employment’ in the New Jersey fast food industry. And so began a legend of a feud. Card and Krueger’s paper was intentionally narrow and nuanced in its claims. … Had Buchanan actually called Card and Krueger ‘a bevy of camp-following whores’ on account of his disagreement with their natural experiment’s findings?” (10/12/21)