The minimum wage debate
President Obama set the stage for the banality of this debate when he announced the increase in the minimum wage for federal employees. His primary explanation was that the increase was "fair", which so far has been about the limit of his ability to explain his views on economics.
What if something was viewed as "fair" but would push the economy into recession? How does "fair" relate to economics? Obama is so patronizing and insular that he refuses to acknowledge the intelligence of the American people and actually explain the economic rationale for any of his thoughts, like his resentment of corporate America's right to determine its own salary structure with its shareholders looking over their shoulder(agree here that executive salaries are too high but that is not an easy cat to put back in the bag).
The good news is that raising the minimum wage does not threaten the U.S. economy. In fact, the opinion here is that it could be positive, perhaps very positive, for the economy. Why won't any of the cautiously timid Democratic leadership make such a comment. A higher minimum wage of a meaningful amount(God only knows where $10.10 came from, Obama's number that defies explanation, but maybe that's somewhere near a meaningful starting point) would attract more people to the job market and we'll find out how many people are not working because with various benefits that's more attractive than the demands of work.
A higher minimum wage could set a more positive tone for many in the job market, and obviously lead to increased consumer spending. The fact is that no one in D.C. can see the future any clearer than the average citizen. There could be limits for certain sizes of business, there could be an age cutoff of some type for those under 18 --- who is trying to do anything creative. But believe me, it's "fair".
What if something was viewed as "fair" but would push the economy into recession? How does "fair" relate to economics? Obama is so patronizing and insular that he refuses to acknowledge the intelligence of the American people and actually explain the economic rationale for any of his thoughts, like his resentment of corporate America's right to determine its own salary structure with its shareholders looking over their shoulder(agree here that executive salaries are too high but that is not an easy cat to put back in the bag).
The good news is that raising the minimum wage does not threaten the U.S. economy. In fact, the opinion here is that it could be positive, perhaps very positive, for the economy. Why won't any of the cautiously timid Democratic leadership make such a comment. A higher minimum wage of a meaningful amount(God only knows where $10.10 came from, Obama's number that defies explanation, but maybe that's somewhere near a meaningful starting point) would attract more people to the job market and we'll find out how many people are not working because with various benefits that's more attractive than the demands of work.
A higher minimum wage could set a more positive tone for many in the job market, and obviously lead to increased consumer spending. The fact is that no one in D.C. can see the future any clearer than the average citizen. There could be limits for certain sizes of business, there could be an age cutoff of some type for those under 18 --- who is trying to do anything creative. But believe me, it's "fair".
posted by John Borden at 3:44 PM
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