Political Economy of Wages, The

Populism, insofar as it relates to economic policies, can be better understood by examining the dominant way of discussing wages in economics. Hence, marginalist labor economics is critically appraised. Subsequently, a classical political economic understanding of wages is outlined, and its superiority is demonstrated. After discussing the implications of the two theories of wages for policy, the entry concludes by making some critical remarks on the relationship between economic theories and policies.