Anonymous asked: Okay, I don't personally believe in many of the things that are on your blog, especially with the "homeless spikes" and being against raising minimum wage. 1. How is putting spikes anywhere helping the homeless? We should be trying to get them off the street not sweeping them under the rug. 2. The economy works by giving people enough money to spend on goods and services so that or can be put back into the economy. Raising minimum wage would actually be beneficial as more people can buy things.
Oh wow. You really have no idea how the real world works, do you? Ok, lemme break it down a bit:
1. The spikes are not to help the homeless. They are to help the property owner who has invested what would probably amount to their entire life’s fortune in their business/building. They are there to discourage anyone, not just the homeless, from loitering and damaging the property. There are countless programs, charities and shelters for the homeless in particular, so the spikes are really an excuse to bitch. Instead of complaining about a private property owner protecting his investment, how about you put your money and time where your mouth is and volunteer/donate to a homeless shelter or food kitchen. It would go a lot farther than your phony internet activism that feeds and houses exactly zero people.
2. You could not be more wrong about the economy. Wages are a by product of the economy, not it’s engine. Think of it like this: You are making paper clips. After you factor in manufacturing costs, overhead, labor costs and the like, you can sell your paper clips for .10¢ a piece. Now let’s say some government official comes and tells you that you have to raise your labor costs from $8/hr to $15/hr. This raise is not due to increased efficiency, but just some arbitrary increase because it makes people feel better and can get a politician re-elected. What do you think happens? Do you, as a manufacturer, eat the extra cost? You already only make a paltry 10-15% per sale. No, what you do is raise the price per paper clip to .20¢. Of course, the wage increase is not for paper clip manufacturers alone, so EVERYTHING goes up in cost. .99¢ hamburgers? Now $2. $3 gallon of milk? Now $6. What this wage increase does is simply raise prices for EVERYTHING.
What good is doubling your income if everything doubles in price? You “purchasing power” does not increase in the long run when you arbitrarily raise the minimum wage. Production, profit and efficiency mandate what wages are. Not the other way around.
Don’t break out the champaign. The jobs report is nothing to cheer about.
Today, you’ll likely hear talking heads on TV crowing about how we’ve now fully recovered from the job market crash. We’ve discussed it many times at this website: this is all fluff.
from James Pethokoukis:
Thanks to 217,000 net new jobs created in May, US employment is now at an all-time peak. All the 9 million jobs lost during the Great Recession have been recovered.
But while the milestone is certainly worth noting, its importance pales next to the current state of the “jobs gap.” The US economy now has 113,000 more jobs than in December 2007, but the working-age population today is 16 million larger. When you factor in population growth, as the Economic Policy Institute has, you find the recession has left a remaining shortfall of nearly 7 million jobs or “missing workers.”
More context: the share of adult Americans with any sort of job — what I like to call the employment rate — was 58.9% last month vs. a prerecession peak of 63.4%. And as the Wall Street Journal notes, “Since the economy emerged from recession five years ago, wage gains have barely managed to keep ahead of inflation.”
Americans should be happy the economy is growing and adding jobs. A glacial recovery is better than nothing — or whatever you want to call what the eurozone is suffering through right now. But they shouldn’t be satisfied or accept the “new normal” as the best that can reasonably be expected. Because it isn’t.
If we were still counting the labor force the same way we were before Obama took office, the US is 7 million jobs short. The "real" U-6 unemployment number is 12.2%, about twice what the people on TV are gushing about. The labor force participation rate for 25-29 year olds is still at an all time low.
Anonymous asked: The point of that post is to show that 7 dollars an hour is *not* sufficient for a person to raise a child, as well as to properly come by. We want people to be able to survive and sufficiently raise children. Besides it isn't that easy for people to get jobs, often not for people in such situations. Discrimination and prejudice often plays role into job decision making - and even if getting the job it's usually bad jobs - minimum wage jobs.
Well bummer. If you have a child maybe you should try to find a different job that pays better.
where are people supposed to get a job from if they cant even afford to have their kid babysat?
Oh come on.
im asking you a serious question, where do you expect these people to get other jobs?
what do they do with their kids then?
So you have time to work full time at mcdonalds but not enough time to apply for other jobs?
Paying people more doesn’t just magically make them wealthier. After a short time prices of all goods and services rise to compensate for the higher wages being paid to employees, thus making those people’s purchasing power about the same as before they got the “raise.” That is why milk in SE AL. is half that of milk in NYC.
But hey, when people realize they don’t have any more purchasing power, you can always buy their vote with more pormises of higher pay, huh?
Who’s up for a $26 minimum wage?
I don’t think I’ve ever encountered such staggering ignorance. It’s truly amazing. Barbara Lee, who apparently knows approximately as much about economics as I do about 18th century French lesbian poetry, said she would love a $26 per hour minimum wage for her home state of California.
From the DC:
California Democratic congresswoman Barbara Lee expressed support for a $26 minimum wage in her state — a move Republican congressman Andy Harris encouraged, assuming jobs would rapidly flee California to his state of Maryland.
Lee and Harris appeared Friday on CNN’s “Crossfire,” hosted by former Obama advisor Van Jones and former Republican Speaker of the House Newt Gingrich. The panel discussed the proposed increase in the federal minimum wage from $7.25 to $10.10 per hour.
“Let me ask you this question, you’re a good advocate for this,” Gingrich asked Lee. “The mayor of Seattle is proposing that the minimum wage ought to go up to $15 an hour.”
“Good for him,” Lee responded. “In California — more than likely, from what I remembered — a living wage where people could live and take care of their families and move toward achieving the American dream was about $25, $26 an hour.”
“So would you support that as a minimum wage for California?” Gingrich asked.
“Absolutely I would support it for California.
Face, meet palm. Seriously, this is what we’re up against folks. How do they ever win elections?
If raising the minimum wage is the answer, why not raise it to $1,000? Why not $1 million? Just think of it, even janitors and fast food workers could live in mansions in Hawaii! If your only argument for why this wouldn’t work is “oh please, that’s just ridiculous”, then you need to think about why it wouldn’t work and apply that same logic to any other minimum wage hike.
In case you’re in the dark about why raising the minimum wage would be devastating for poor people, go here.