Since London's high-wage economy generates a disproportionate share of tax revenues, Londoners are likely to get grumpier than they already are.

ECONOMIST: Public-sector pay

And the last point is we think we need to rebalance our economy in order to succeed globally, because if the United States is going to be a high-wage, high-performance export-led economy, it needs to do three things that the other successful wealthy industrialized exporting countries have done.

WHITEHOUSE: President Obama Meets with Economic Recovery Advisory Board | The White House

The public finances may be solid (public debt is around 40% of GDP), but the government has been slow to make reforms such as trimming a high minimum wage, reducing the size of the unregistered economy and increasing competition to reduce energy and other costs.

ECONOMIST: The Turkish economy

Suppose a high minimum wage, by pressing on the structure of pay differentials, raises wage growth and hence inflation across the economy.

ECONOMIST: Economics focus