Mess they have made of Health Care and the economy

Republican Talking Points- Democrats’ Minimum Wage War on Poor


In their War Against Jobs, President Obama and the Democrats are raising the Minimum Wage knowing it will cost beginners their jobs. Why?   Using Orwellian Doublespeak Democrats hope it will be a winning campaign issue and divert attention from the mess they have made of health care and the economy.


President’s Obama’s Executive Order increasing the minimum wage for federal employee affects 16,000 workers (under 1% of hourly workers) which may include presently unpaid Congressional Interns. It doesn’t take a federal law to pay them more.  The Senate version, according to the non-partisan Congressional Budget Office (CBO) will eliminate up to one-million jobs, but help 16 million other workers, 29% of whom earn over 3 times the poverty threshold.


Democrats are counting on a misinformed and ignorant electorate, the 25% who don’t know the earth revolves around the sun,  the 29% who don’t know the name of the Vice-President, and the 999 of a 1,000 who can’t name the First Amendment’s 5 freedoms. In California only 1.4% of wage earners receive the minimum “learning” wage (less than 1% of full time workers) and only 1.7% of full time workers nationwide.  Also, most people don’t know the majority of minimum wage earners receive a pay increase within one year of starting a new job. Table 3


So why the all-out effort to raise the minimum wage? Because nearly every hourly worker ratcheted “above” the minimum wage (about 72 million workers) expects to get a pay increase whenever it goes up.  Organized labor’s union voters and campaign contributors are the Democrats’ target audience.  Those earning the minimum wage today are the sacrificial lambs — those seeking a first time “learning” wage job (27% are unemployed today) and minorities (50% unemployed), the people who suffer the most from “good intentions.”  The very rare fraction of married adults with children who earn the minimum wage after one-year are entitled to EITC (up to $6,044) to bring them above the poverty level.  The whole minimum wage issue is a political sham for the sole purpose of generating votes and campaign contributions.

An analysis by the Sunlight Foundation, a nonprofit that tracks political spending, of groups and individuals who wrote checks of more than $10,000 to super PACs and other political committees found big labor outspent big business by a margin of more than 2-to-1 during 2013.  Why do you suppose that is?

Teen unemployment
Source: Carpe Diem

Most of the times since 1974 when  minimum wage went up unemployment went up. As the cost of paying  minimum wage increases are eroded by inflation, low-income employment tends to rise again. There are many conflicting studies on the effect of minimum wage raises so you have to look to your personal experience to get to the truth. What do you imagine would happen to “learning” wage jobs if the minimum wage was set at $35 an hour as some labor unions are demanding? Their members, of course, getting $35 an hour now would receive $68 an hour.  Get It! Based on your own spending, do you generally buy more or less of something when the price goes up, e.g., food, clothing, shoes, homes, rent, etc.? Is  spending different when it comes to beginner wages?  Why do you think millions of jobs for elevators operators, movie theatre ushers, gas station attendants, newspaper boys, teenager lawn cutters, babysitters, doormen, etc.  have disappeared?  Formerly, millions of low-paying beginner jobs, but nonetheless, honest starter jobs.


From Chapter 8, Romancing The Voters.