Replies

I wonder if Krugman really understands how many public works projects were completed during the New Deal era: basically by *volunteers* (often limited to those whose families were already on welfare) who, in return for their manual labor, were given "three hots and a flop" (three meals and a place to sleep) and very small wages -- some of which was required to go back to their family if their family was on welfare.

Mr. Krugman, would this work today? How much would this labor have cost, in today's dollars, if instead of three hots and a flop and a small wage, workers were required to be employeed, say, at union rates and with full benefits, including Obamacare?

And would the young people on welfare, or whose families are on welfare, even consider doing manual labor for a comparable compensation?

The Civilian Conservation Corps, for example:

The typical enrollee was a U.S. citizen, unmarried, unemployed male, 18–20 years of age. Normally the family was on local relief. Each enrollee volunteered, and upon passing a physical exam and/or a period of conditioning, was required to serve a minimum six month period with the option to serve as many as four periods, or up to two years if employment outside the Corps was not possible. Enrollees worked 40 hours a week over five days, sometimes including Saturdays if poor weather dictated. In return he received $30 a month with a compulsory allotment $22–25 sent to a family dependent, as well as food, clothing and medical care.[12]