12 March 2010

Minumum Wage Sparks Unemployment

The Cato Institute:

[Three years ago, then-Sen. Obama and prominent African-American organizations thought a hike in the minimum wage would empower minorities.

So how much should workers be paid? $100 per hour? $25 per hour? $7.25 per hour (the current federal rate)? Or zero? For 95 percent of workers a wage of a $100 per hour would be a significant raise. But most people understand that very few people would have jobs at a minimum wage of $100 per hour — so there are few, if any, advocates for that rate.

After a nine-year battle, when July's increase in the minimum wage took effect, the Democratic Policy Council declared, "This was a long overdue raise for American workers." Maybe for some workers, but the 3 million blacks currently unemployed are now feeling the pain.

The minimum wage hike has cost employers more, an additional $2.10 per hour, and forced employers to lay off many minimum-wage workers — most of them young people who had their first real job — causing for an overall rise in black unemployment.]

Ok so what we have here, is that classic case, that no job is better than a lower paying job. Sounds crazy doesn't it. And no one would ever openly argue that. Yet the left does all the time. They just have better ways of phrasing it such as, a minimum wage for workers.

As this begins to point out, employers pay extra for minimum wage workers, so an increase means layoffs, and who do you think are the first to go? Young, sometimes poor, maybe black, people who now instead of having a low paying job, have no job. Now honestly, which sounds better? Having a job earning lets say $6.00 an hour, or being unemployed earning no money an hour?

Now first, i think there is a huge connection, between minimum wage, and welfare. Here's the game. Raising minimum wage will surely pass as they have a monopoly argument that if you oppose this you hate poor people and don't want people to survive. Then when it does pass, and they are laid-off, where do they go? Oh they go the welfare state where they learn to become dependent on the government. And then who do they vote for? That's the trick. You get more people dependent on the government.

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