Tags: Minimum | Wage: | Job | Killer

Minimum Wage: Job Killer

Thursday, 08 September 2005 12:00 AM

According to the Journal of Economic Literature, a 10 percent increase in the minimum wage leads to about a 2 percent rise in teen unemployment.

Now that "renowned compassionate liberal" Ted Kennedy wants to raise the minimum wage to $7.25 from $5.15 an hour this autumn – a 40 percent increase - it would impose an $18.3 billion increase in costs on mostly small and local businesses with typically thin profit margins – restaurants, hotels and retail establishments, according to the Employment Policies Institute (EPI).

Only 13 percent of that money would go to families that are truly poor – the EPI reports that only one in every 11 minimum wage workers is the head of a poor household.

The Journal concludes: "In his classic book, ‘The State Against Blacks,' economist Walter Williams denounced the minimum wage as one of the most onerous forms of legal discrimination in the last quarter century.

"With one out of every three black teens now legislatively priced out of the job market, we wonder how much higher the jobless rate must go before politicians understand the folly of their false compassion?"

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According to the Journal of Economic Literature, a 10 percent increase in the minimum wage leads to about a 2 percent rise in teen unemployment. Now that "renowned compassionate liberal" Ted Kennedy wants to raise the minimum wage to $7.25 from $5.15 an hour this autumn -...
Minimum,Wage:,Job,Killer
188
2005-00-08
Thursday, 08 September 2005 12:00 AM
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