Minimum Wage Laws are Destroying Jobs -- Just as Predicted

Townhall.com ^ | June 22, 2017 | Larry Elder

[Mr. Douglas]

There is an odd pleasure I take from fiddling while watching Rome burn.

[broken_clock]

Another great article from the Sage. Thanks for posting!

[Don Corleone]

No less than a dozen fast and some slow food restaurants here in Tucson have closed over our minimum wage increases.

[samtheman]

Another great article from the Sage.

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Good name for him. He is one of the best.

[Rapscallion]

The higher the minimum wage, the fewer people will be hired at that cost.

[The Westerner]

The Sage ping

[JPJones]

Je suis Stratford Inn.

[factoryrat]

On the other side of the coin, businesses and employees are caught in the inflation trap.

Wages are stagnant, while commodities, especially wholesale food products, are spiraling out of control.

The US dollar is increasingly losing its value in the domestic market. Imports from china are still cheap, but you can’t eat an Iphone or LCD TV.

[Gen.Blather]

“The higher the minimum wage, the fewer people will be hired at that cost.”

The way these calculations take place, the tax people look at the number employed, boost their pay and calculate the taxes. All things in economics remain the same when the government changes the ground rules. That’s because nothing ever changes as a result of government policy changes. Seriously. That’s how the government types think. The numbers are rock solid, every time.

Later, headlines read, “xxx unexpected. Other factors caused ...” or, my favorite, “Trump did it.”

[jonrick46]

The David Card and Alan Krueger 1994 paper on the effects minimum wage increases have on the economy has been proved wrong. This study is what the Left has used to ramrod minimum wage increases through.

[SamAdams76]

The minimum wage is actually an artificial wage that pays many people more than what they are worth. As that ratchets up, the cost of goods and services ratchet up accordingly as businesses are now forced to factor the increased labor costs into their prices.

We can make the minimum wage $100 an hour and all that will do is make the price of a hamburger $50. The low-skill people will still find themselves at the bottom of the economic ladder.

[SamAdams76]

When George McGovern, the 1972 Democratic presidential candidate, left the Senate, he bought the Stratford Inn, a small Connecticut inn and restaurant. It went bust and he blamed, in part, the very kind regulations he passed as a politician devoid of business experience. "I wish I had known more firsthand about the concerns and problems of American businesspeople while I was a U.S. senator and later a presidential nominee," said McGovern. "

Which explains why a president like Donald Trump is a very good idea. Many of our early presidents had business experience (i.e. George Washington, Thomas Jefferson) and that business experience served them well as chief executive.

[luvbach1]

With min. wages at $11.50/hr (soon to be $15)at San Diego fast food outlets, one finds a double cheeseburger costs $5.69 at Wendy’s. If you want fries with that, $2.00 more.

[ichabod1]

You are right that it is an artificial wage. Government can say whatever they like, but the real minimum wage is always $0.

[The Great RJ]

It’s all about productivity... if the worker cannot produce enough revenue from an hour of their labor to meet some government imposed minimum hourly wage than the employer either goes out of business or replaces labor with capital. Either way the worker loses.

[upchuck]

The robots are coming. And with the robots, lots of changes.

This is not a good time to looking at fast food as a career :)

[minnesota_bound]

#17 This is not a good time to looking at fast food as a career
That is why I will get a job at Whole Foods. I hear there is a new owner.
Safe dependable job......... : )

[4Liberty]

Keep it up, socialists. Entrepreneurs will substitute capital investments for above-equilibrium labor costs - enjoy your unemployment!

[Chode]

RATS aren't smart enough to understand the business model of a lemonade stand...