Seattle is not alone. Unfunded pension liabilities will (have) put a crush on many cities and states that promised too much to their government workers during another era.
You can make your case for an artificially high minimum wage all you want here. We have and will continue to tolerate such “arguments.”
We understand why you want a minimum wage that is above the real wage for unskilled labor to work. We get it. The world is hard. More money to the poor would be more “just.” And so on and so on.
The thing is government can’t just declare something to be.
It should be noted that Seattle actually has a statue to Lenin on display. They should have kept the red paint on his hands. But you know – “progress.” Talk about profound idiocy.
But hey. People can move. And they likely will. So chase the poor people out by raising the minimum wage. Then chase the new money out by taxing their income. Oh and don’t forget licensing dog walkers.
There is actually a pretty good statist rebuttal to this. The rebuttal is fundamentally incorrect but from an argument perspective one could get some mileage from it. But I’ll let you guys figure out what this rebuttal might be.
But in the end a minimum wage that is set arbitrarily above the actual – real – market based minimum wage will put people out of work. It will increase gentrification of working class neighborhoods. It will chase less fortunate people out of the cities that are foolish enough to proceed with non-reality based minimum wages.
Oh Jet City. Where did you go wrong? It started long before the minimum wage hike. Probably even before Eddie Vedder.
Last year we discussed why a significant rise in the minimum wage in places like Seattle and San Francisco was “good” for wealthy urbanites (you know, it pushes out the undesirables [some might call them “deplorables”] in the name of “social justice”) but was actually bad for those who worked for minimum wage.
Fast forward to now.
“Please don’t fine my owner.”
“You see…Vee have noticed that you’ve been buying quite a lot of dog food recently…Now vee can do this the easy vay or the hard vay…Where is the dog? And do you have a license? Please check in with with the local pet commissar immediately.”
Got to spend crony money to make crony money I suppose.
We warned that Seattle would see problems due to its minimum wage law.
The simple fact, one which many have a hard time understanding, is that just because a city council says that a job by law must pay $15.00/hour (or whatever) does not mean that the value of the work done in a particular job, a job which paid less than $15.00/hour before is now suddenly worth $15.00/hour. The city council can’t just upend reality by decree.
This will be an interesting experiment. I don’t much care for taxes financing politicians running for office (at all), but I’m interested to see how this works out. Lots of landmines with this though as the article explains.
And hey, if people running for office get vouchers, why not kids stuck in crummy schools?
The title of the video says that the activists were “Black Lives Matter” activists, and this may be true though I didn’t see or hear any indication of that.* Frankly whatever group they represent these folks represent the insanity of the deep statist camp. Sanders is a guy making their case and the activists still blew up the event. Doesn’t seem too smart to me.
It should also be noted that certain powers that be are not happy that Bernie Sanders is polling even with a certain former Senator from New York.
The simple fact is that a minimum wage which is completely divorced from the natural wage rate will cause havoc all through the economy. People will lose hours and jobs. Businesses will go out of business. People will leave for lack of jobs. Lives will be disrupted.
I wish this wasn’t the case. But it is.
You may not like it. Heck, I may not like it. But this is reality.
I hate the whole “blue state”/”red state” nonsense. Cuba and North Korea are “red states” not Texas. And the color blue is traditionally a conservative color not one associated with the “Left.” For some reason the colors the networks designated as indicating whether a state voted for one party or the other flipped in 1992 with the election of Bill Clinton.