Colorado's Funeral Mistake - Marginal REVOLUTION
Today about a quarter of the US workforce are required to have a license to work in their chosen profession, up from just 5 percent in 1950. Almost always the trend has been to add occupational licensing over time, but in 1983 Colorado did something unusual: it delicensed funeral service workers such as funeral directors. […]
Today about a quarter of the US workforce are required to have a license to work in their chosen profession , up from just 5 percent in 1950 . Almost always the trend has been to add occupational licensing over time, but in 1983 Colorado did something unusual: it delicensed funeral service workers such as funeral directors. Brandon Pizzola and I analyzed what happened in our 2017 paper, Occupational licensing causes a wage premium: Evidence from a natural experiment in Colorado’s funeral services industry . What we found was that delicensing reduced wages, reduced prices, and caused a sh
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