Out of all the economists in America, these guys were able to get 100 to sign a petition saying we should raise the minimum wage to over $10 an hour:
“Over one hundred professional economists have signed on to a petition in support of H.R. 1346, the ‘Catching Up to 1968 Act of 2013.’ The act, sponsored by Congressman Alan Grayson of Florida, would raise the federal minimum wage from its current level of $7.25 to $10.50 per hour, the approximate level it would have been if the 1968 minimum wage had kept up with inflation. The act also indexes the minimum wage to inflation, ensuring that the real value of the minimum wage would no longer deplete in the way that it has over the past decades.
“The petition, signed by economists from dozens of universities and research institutes, explains how a minimum wage employee working full time at the current rate earns $15,080 a year — 19 percent below the poverty line for a family of three. Raising the minimum wage to $10.50 would ‘deliver much needed living standard improvements to 45 million U.S. workers and their families.’
Ok, I am so freaking tired of this line.
People are not living on minimum wage jobs! They just aren’t.
Who has minimum wage jobs?
In 2005, 1.5 percent of all wage and salaried workers received the federal minimum wage or lower.
That amounts to roughly 2 million people. Of that number,
• about half are under age 25
• less than one-quarter work full time (35 hours or more a week)
• three-fifths work in the food service industry, where, according to government reports, tips and commissions often supplement the hourly wages
• more than 70 percent are at least high school graduates
• two-thirds are women
The percentage of people who earned the minimum wage or less has dropped from 7.9 percent of all wage and salary workers in 1979 to 1.5 percent of all wage and salary workers in 2005.
How many of the 1,000,000 minimum wage earners under 25 live at home with their mother and father? According to the National Center for Policy Analysis, 40% do. Here is the Bureau of Labor Statistics Report on miminum wage earners in 2005. Don’t believe me. Read it for yourself (but be advised, it is a pdf.)
If the goal is to increase unemployment, especially for black youth, this is the best possible way to do it:
…here’s 50 years of research into the minimum wage. A few of the things found:
- The minimum wage reduces employment.
- The minimum wage reduces employment more among teenagers than adults.
- The minimum wage reduces employment most among black teenage males.
- The minimum wage hurts blacks generally.
- The minimum wage hurts low wage workers.
- The minimum wage hurts small businesses generally.
- The minimum wage hurts the poor generally.
- The minimum wage does little to reduce poverty.
Click here and read why Democrats love to push minimum wage increases. Hint: it’s not to help the little guy.
As for the economists who signed this petition, I’d love to see a show where they fill the studio audience and take on this guy:
It would be a lot like this, only 100 times more awesome: