Saturday, January 04, 2014

Minimum Wage Increases Forces UP Unemployment AND Prices

I wonder how this will solve anything except unions getting fatter and consumers getting poorer. Politicians will get fatter as well, that is until the taxpayers decide they won't foot the bill any longer and the unemployment line starts to interfere with traffic.

I wonder to how this will work out when business that are effected find more ways to eliminate jobs to save money? It stands to reason, if the business person wants to stay in business and be competitive, they have to do what ever it takes to sell their product, and just raising the price will never do as other business people will find a way to make a profit which will put your business at risk.

And one of the best ways, of course, to solve this problem is to cut down on overhead, that is cut working hours and or lay off none essential personal. Ignorance and stupidity on the part of the politicians have consequences. But the progressives love the idea of all the unemployed people going on the dole as they all will vote progressive Democrat.

Thirteen States Raise Pay For Minimum-Wage Workers
Source: "Thirteen States Raising Pay For Minimum-Wage Workers," USA Today, December 29, 2013.
January 2, 2014

The minimum wage rose in 13 states as 2013 drew to a close. As many as 11 states and Washington, D.C., are expected to consider increases in 2014, and approval is likely in more than half of the 11, according to the National Employment Law Project, says USA Today.
  • On January 1, state minimum wages became higher than the federal requirement of $7.25 an hour in 21 states, up from 18 two years ago.
  • The National Employment Law Project expects another nine states to drift above the federal minimum by the end of 2014, marking the first time minimum pay in most states will be above the federal level.
  • Connecticut, New York, New Jersey and Rhode Island legislatures voted to raise the minimum hourly wage by as much as $1, to $8 to $8.70 by the 1st.
  • In California, a $1 increase to $9 is scheduled July 1.
  • Smaller automatic increases tied to inflation took effect in nine other states: Arizona, Colorado, Florida, Missouri, Montana, Ohio, Oregon, Vermont and Washington.
 

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