CBO: Democrats' proposed Min-wage hike would cost businesses $15 billion

[NYcarbineer]

The budget office also estimated that the measure would force state and local governments to pay workers $1 billion more in 2017 than they would otherwise be required. Those governments paid $840 billion in salaries in 2012, according to the Bureau of Labor Statistics.

A one billion dollar increase on an 840 billion total salary budget is slightly more than 1/10th of one percent.

 

[Wry Catcher]

So, none of the $15 B. will be pumped right back into the local economy, is that correct? That extra unearned money of lazy people who want more money for their labor will probably be invested it in China or put it into a bank in the Cayman Islands. Rotten greedy unpatriotic people that they are.

Thank you FOX News and Mr. Murdoch for mitigating the class war started by the Demorats, as the only fair and balanced source of news on TV, you and Mr. Limbaugh the Queen of AM Radio should be venerated as Gods. Maybe She bless you with your just desserts.

 

[NYcarbineer]

The Democrats' War on Businesses goes on.

The non-partisan COngressional Business Office has calculated that the Democrats' proposed wage hike will costs American businesses $15 billion.

The Democrats have made no proposals on what expenses the businesses should reduce or cancel, to pay this extra money with no increase in productivity resulting from it.

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Budget office: Wage boost would cost firms $15B | Fox News

Budget office: Wage boost would cost firms $15B

Published April 17, 2014
Associated Press

A Senate Democratic bill gradually increasing the federal minimum wage to $10.10 hourly would require private businesses to spend $15 billion more in salaries when it takes full effect in 2017, the Congressional Budget Office estimated Thursday.

The Senate is expected to begin debating the election-year Democratic measure when lawmakers return from a spring recess in two weeks. Republicans seem likely to muster enough votes to block it, and there is no evidence yet that Democrats are willing to broker a compromise.

The minimum wage is currently $7.25 hourly. The bill by Sen. Tom Harkin, D-Iowa, would increase the minimum in three steps, reaching $10.10 two-and-a-half years after the bill becomes law.

The budget office also estimated that the measure would force state and local governments to pay workers $1 billion more in 2017 than they would otherwise be required. Those governments paid $840 billion in salaries in 2012, according to the Bureau of Labor Statistics.

The federal government would incur just $2 million in added wage costs for the entire decade ending in 2024. That's because it has fewer than 4,000 workers earning less than $10.10 hourly, the budget office said.

But the Democratic bill would cost the government $5 billion in lost revenue over the coming decade.

Here's some of what the author of this thread decided to excise when he was editing Fox's article:

"But it could also be beneficial to Democrats because the private sector spent $5.4 trillion on wages in 2012, according to the most recent data from the federal Bureau of Labor Statistics. That means the increased pay would boost employers' wage costs by just 0.003 percent, or about one-third of a penny for every dollar spent on salaries."

And the last about the Democratic bill costing revenue? He leaves out why:

"But the Democratic bill would cost the government $5 billion in lost revenue over the coming decade. In an effort to win votes from moderate Democrats and perhaps Republicans, Harkin's measure would give bigger tax breaks to some smaller businesses that purchase equipment over the next three years."

Lost revenue because of a tax cut. Can't mention that because tax cuts supposedly increase tax revenues, if you believe conservative propaganda.