Who is wage rigid?

Those who do not receive wage cuts:

We are told that 16 % of the economy never received a wage cut during the recession, hence the rigidity requires that we reflate so the remaining 84% will catch up.

Who exactly are these folks who never receive wage cuts? Well, the 7% who work in government jobs. Take away those and we find that about 10% of the total receive no wage cuts, or roughly 11% of the private sector.

This is a classical rig, a composition fallacy.

As a side note, examine the Forbes article on the subject of government to private employ growth. There data shows quite clearly that Republicans are mainly socialist idiots, especially Reagan and Bush the smaller.

End of Term	Date	% Increase in GE	% Increase in P	GE/P Ratio
Obama	Dec. 2012	-2.8%	3.0%	6.9%
GW Bush	Dec. 2008	8.4%	7.9%	7.4%
Clinton	Dec. 2000	10.2%	9.8%	7.3%
GHW Bush	Dec. 1992	6.4%	5.0%	7.3%
Reagan	Dec. 1988	8.3%	7.6%	7.2%

Lets use an inaccurate proxy for total employment:

Inaccurate because government employment and government spending are not linear to each other. But the graph is interesting because it clearly identifies the maniacal Communism of the so called Republican conservative.
--------------------

But I digress.  The real hack job here is that the promoters of Keynesian wage rigidity have to identify any government employ who got a wage cut, because I have not found them.  Most of the wage rigidity is in government itself.  This is pleasing to me as it confirms my bias that government is horribly inefficient.  It is also a very good reason to doubt that reflation will work, mainly because all these government employees will get their wages indexed to inflation.

But most importantly, wage ridigity is not a Keynesian Theory, it is a conspiracy among government employees to successively steal a portion of private sector wages during each recession, and explains the mechanism behind the thirty year nightmare of government multipliers less than one.