Thursday, March 12, 2015

Minimum wage particularly hurts youth and disadvantaged

“European nations with the highest minimum wages have unemployment rates that are twice as high, on average, as those with no minimum wages. Especially hard hit by minimum wages is youth employment, which averages more than 25% in these countries.

Compare this to those countries in Europe with no federally mandated minimum wages. Most instead have wages that are privately negotiated between workers, unions, and employers. It's an infinitely better system than a one-size-fit...s-all federal minimum wage. Wages are determined by workers and companies, raised when both parties agree, applied to specific jobs, and do not apply to the whole country. In other words, they are market wages.

National minimum wages, on the other hand, are an arbitrary number, determined by politicians, manipulated through a political process, and applied to every sector, industry, and job in the entire country, regardless of skill, merit, or productivity. It is the economic equivalent of 'intelligent design.'

And it harms the poor, the uneducated, and the disadvantaged. The people who desperately need entry level work experience to begin a career. They are denied the opportunity, because the government tells companies they're not allowed to hire such people unless they do so at an economic loss.” Unbiased America



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