The Minimum Wage Scam

Once again Democrats and the Left have no idea how a free market economy works. They think that by increasing the minimum wage low income workers will be wealthier and better off. That only computes if every other factor in the economy remains constant. But that will never happen. Labor is business’ biggest cost and increases in the cost of labor will be passed onto those who purchase the product or service in all industries. So the marginal workers will pay higher prices with the increased pay they earn. This amounts to a tax on poor people for the very industries in which they work and receive a higher minimum wage are the very companies that they patronize who will raise their prices. Think of what class of people most often frequent MacDonalds.

Furthermore large increases in minimum wage will put some out of a job. Business owners may decide that the new mandated government wage is not worth the work of some employees and may lay them off. So a few benefit at the expense of some who now become jobless.

Lastly if increasing the minimum wage really worked and brought people out of poverty why stop at $15 per hour. Why not $50? Or $100? Let’s go whole hog and raise the minimum wage to $1000 per hour. That would eliminate poverty right?

If you can fathom what a $1000 per hour minimum wage would do to the economy then you can see what a $15 minimum wage would do on a smaller scale. These kind of increases only cause the cash only underground economy to grow, thus siphoning jobs away from American citizens and giving them to the black market flooded by illegal aliens who will work for half the minimum wage.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s