In December, President Obama promised he was “going to keep pushing until we get a higher minimum wage for hardworking Americans across the entire country.” A minimum wage increase makes for a snappy political sound bite, but the impact on workers – and would be workers – isn’t something to brag about. Employers respond to an increase in minimum wage by creating fewer entry level jobs, which hurts less-skilled workers. Bottom line: raising the minimum wage hurts the job prospects for those that need jobs the most.
Yesterday, the Washington Post’s Jeff Simon attempted to refute existing evidence on the impact of minimum wage on employment. Using a few charts, Simon attempted to use state-level data on unemployment and minimum wage to prove a minimum wage increase does not have an impact on employment. Explaining the charts, Simon said, “What you see in each case is a state unemployment rate that closely tracks the national rate – despite fluctuating minimum wages.”
But James Sherk, the Heritage Foundation’s Senior Policy Analyst in Labor Economics, says the methodology is totally flawed.
Democrats plan to use the issue of the minimum wage to regain support in 2014, after taking a serious blow in popularity because of the ongoing Obamacare debacle. President Obama will lead the charge.
Sadly, neither Mr. Obama nor Democrat leaders in Congress have a great track record for job creation. Obamacare is most prominent among the Democrats’ job killers, but myriad liberal policies have stifled job creation and job security, especially for low income earners. A federal minimum wage increase would simply join the ranks of these imprudent policies.
What’s worse, many of the stunts liberal Democrats have pulled have been for political gain. It sounds magnanimous to say you want to raise the minimum wage, and Democrats know they’re putting Republicans in a tough spot if Republicans are forced to vocalize their opposition.
President Obama made remarks on the economy Wednesday, lamenting inequality in America. Of course, he blames everyone but himself and the big government he promotes for the state of things.
Sen. Harry Reid (D-NV) 13% is now tweeting about the raising the minimum wage because he contends it will “strengthen middle class families, boost economic activity, and help lift the working poor from poverty.” Liberals are notorious for clinging onto ideas that make for good slogans and that would work really well in a fantasy but that have no place in reality.
He would like the federal government to raise the minimum wage, and of course, that sounds nice, but the economic reality is that it would harm the very people it is intended to help, just like Obamacare.