DGS49
Diamond Member
As each significant national election approaches, Democrats drag out their tired, old campaign to "raise the minimum wage."
It doesn't really matter what the MW is at the time, or what they want to raise it to; the point is that they know, (a) the economically-illiterate Public perpetually thinks it is a good idea, and (b) Republicans will oppose it. And that is sufficient reason to resurrect the campaign.
But this is one of the most cynical campaigns in all of politics. The Democrats who raise the issue know its a stupid idea; they are not so stupid as to fail to see that the overall impact to the Economy and to the American public is a harmful one, but they just don't care. If they can win a few votes with it, so much the better.
The fundamental folly of raising the minimum wage is the ubiquitous belief among Democrats that money can be made to flow into one person's pocket without it having to come out of another person's pocket. They see the MW raise as, "Oh goody, all these millions of people who are currently making MW will get a raise!" (And they will thank the Democrats for it).
They refuse to look at (a) the business owners - most of whom are small businessmen barely making a profit - from whose pockets the money will come, (b) the part timers who will have their hours cut to make up for the added cost of the MW increase, (c) the people who will lose their jobs as thousands of small business owners decide that they can make as much money in a "job," and just close their business' doors, (d) the thousands of people who will lose their jobs as businesses seek to automate services that were previously done by employees, (e) the millions of high school and college kids who will not be able to find summer and holiday part time jobs now because they are too costly. Not to mention (f) EVERYBODY ELSE, who will have to pay a little more at the pump or counter.
It is no coincidence that the developed countries around the world with NO minimum wage are the ones with the lowest unemployment rates. Western Europe (excluding Germany, which is unique) provide sterling examples of the deleterous effect of high minimum wages and virtually guaranteed lifetime employment once you are hired. Their true unemployment rates are permanently over 10% (which, ironically, is much better than our "real" unemployment rate here).
As with all Democrat "do gooder" programs, there is a finite group of people at whom one will be able to point, and say, "These folks really BENEFITTED from the raise in the minimum wage!" No denying it. There will be some "hard working Americans" who are trying to support themselves on a minimum wage job, who will reap a small - but appreciated - benefit from a raise in the minimum wage.
But Public Servants owe it to everyone to make policies that benefit the overall American public, not policies that punish 97% of the public with "unintended consequences" while benefitting only the target 3%.
In a sane world, there would be NO government-mandated minimum wage. The public refuses to believe it, but there are certain economic "laws" that are just as unbreakable as the law of gravity. To wit, when you mandate a price for something that is greater than its economic value, three things will inevitable occur: (a) consumers of it will consume less of it, (b) consumers will seek alternatives (automation, outsourcing), and (c) a black market will arise or expand. This law does not care if the commodity is sugar, oil, or human labor; it will not be avoided.
Besides, if a $10 minimum wage is a Good Thing, then why not $15 or $20? Then we could drive a stake through the heart of "Income Inequality," couldn't we? Everyone would be "Middle Class." These Democrats are pikers if you ask me. If they really think raising the MW is a good idea, then they should have the balls to do it right.
It doesn't really matter what the MW is at the time, or what they want to raise it to; the point is that they know, (a) the economically-illiterate Public perpetually thinks it is a good idea, and (b) Republicans will oppose it. And that is sufficient reason to resurrect the campaign.
But this is one of the most cynical campaigns in all of politics. The Democrats who raise the issue know its a stupid idea; they are not so stupid as to fail to see that the overall impact to the Economy and to the American public is a harmful one, but they just don't care. If they can win a few votes with it, so much the better.
The fundamental folly of raising the minimum wage is the ubiquitous belief among Democrats that money can be made to flow into one person's pocket without it having to come out of another person's pocket. They see the MW raise as, "Oh goody, all these millions of people who are currently making MW will get a raise!" (And they will thank the Democrats for it).
They refuse to look at (a) the business owners - most of whom are small businessmen barely making a profit - from whose pockets the money will come, (b) the part timers who will have their hours cut to make up for the added cost of the MW increase, (c) the people who will lose their jobs as thousands of small business owners decide that they can make as much money in a "job," and just close their business' doors, (d) the thousands of people who will lose their jobs as businesses seek to automate services that were previously done by employees, (e) the millions of high school and college kids who will not be able to find summer and holiday part time jobs now because they are too costly. Not to mention (f) EVERYBODY ELSE, who will have to pay a little more at the pump or counter.
It is no coincidence that the developed countries around the world with NO minimum wage are the ones with the lowest unemployment rates. Western Europe (excluding Germany, which is unique) provide sterling examples of the deleterous effect of high minimum wages and virtually guaranteed lifetime employment once you are hired. Their true unemployment rates are permanently over 10% (which, ironically, is much better than our "real" unemployment rate here).
As with all Democrat "do gooder" programs, there is a finite group of people at whom one will be able to point, and say, "These folks really BENEFITTED from the raise in the minimum wage!" No denying it. There will be some "hard working Americans" who are trying to support themselves on a minimum wage job, who will reap a small - but appreciated - benefit from a raise in the minimum wage.
But Public Servants owe it to everyone to make policies that benefit the overall American public, not policies that punish 97% of the public with "unintended consequences" while benefitting only the target 3%.
In a sane world, there would be NO government-mandated minimum wage. The public refuses to believe it, but there are certain economic "laws" that are just as unbreakable as the law of gravity. To wit, when you mandate a price for something that is greater than its economic value, three things will inevitable occur: (a) consumers of it will consume less of it, (b) consumers will seek alternatives (automation, outsourcing), and (c) a black market will arise or expand. This law does not care if the commodity is sugar, oil, or human labor; it will not be avoided.
Besides, if a $10 minimum wage is a Good Thing, then why not $15 or $20? Then we could drive a stake through the heart of "Income Inequality," couldn't we? Everyone would be "Middle Class." These Democrats are pikers if you ask me. If they really think raising the MW is a good idea, then they should have the balls to do it right.
