Posted on 02/08/2021 10:22:48 AM PST by Oldeconomybuyer
WASHINGTON - President Biden’s push to increase the federal minimum wage to $15 an hour would cost more than 1.5 million jobs and drive up the cost of goods and services, the US Congressional Budget Office projected Monday.
The nonpartisan federal agency also found that the “Raise the Wage Act” would see the federal deficit balloon to a whopping $54 billion — almost double what is now — if enacted next month.
The report found Biden’s plan would have mixed results. The federal boost would lift 900,000 Americans out of poverty but would cut employment by 1.4 million.
“Spending for unemployment compensation would increase under the bill because more workers would be unemployed,” the CBO report forecast.
Spending on nutrition assistance programs, or SNAP, would decease because more families would be lifted out of poverty under Biden’s plan.
But the cost of goods and services would increase as employers try to pass on the burden of higher wages to consumers, the report said.
“[T]hose higher prices, in turn, would lead consumers to purchase fewer goods and services. Employers would consequently produce fewer goods and services, and as a result, they would tend to reduce their employment of workers at all wage levels,” the CBO predicted.
Biden’s plan to double the federal minimum wage was tacked onto his enormous $1.9 trillion coronavirus rescue package.
(Excerpt) Read more at nypost.com ...
Learn to code. Sheesh! How hard is that to figure out?
“WHERE’S OUR DOUGH JOE?!”
Do it! He gets the blame. Make sure it sunsets in 2 years with a revote.
In that case he will make it $30 an hour.
(that is the point guys...)
There is no correlation between raising the min. wage and higher unemployment rates. There is a small connection between the min wage and inflation.
The CBO? The “non-partisan” CBO?
The Biden/Harris 10 million Indian work related green card giveaway are a lot more job loss than job losses from a minimum wage hike.
Its S.386 on steroids, also adding in green cards for H4EAD Indian spouses, parents, DALCA Indian kids, removing the annual cap on H1Bs and increasing the OPT count.
The threat to raise min. wage to $15.00/hr is an idle one. The Democrats know that wage would put almost all working couple off of government assistance and the Democrats will not allow that.
Who needs a job anymore? The government will just send you a monthly check.
Of course it’s a job-killer. Hell, why not make it $100/hour??
However, politically-speaking, it’s a sure winner. That’s my sense, anyway. Not sure what polling shows but I would be surprised if there is less than 60% support for it. And more to the point, for Biden’s base, it will go over BIGLY.
Unfortunately, the political equation is all that is considered. The days of debating policy are LONG GONE.
Seems so obvious.
If the min. wage goes to $15 a McD’s 1/4 pd. hamburger will cost $400.00 plus tax.
“They” don’t mind killing millions of non-union and or government jobs.
Nah, they'd have to move to India. ;-)
It is not obvious at all. Look at the historical data. Raising the min wage has on occasion increased unemployment and sometimes decreases unemployment. The point is there is no connection between them.
If “Mom and Pop” small business doesn’t like the min wage increase then they can quit and get real jobs or maybe learn to code.
Those that pass minimum wage laws should get minimum wages.
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