Friday, July 1, 2011

Insanity Masquerading as Economic Policy

The Center for American Progress has cited two studies purporting to show that raising the minimum wage creates jobs.  The logic of this escapes me...please help me out here.

Why do businesses hire people?  I think liberals don't understand this fundamental of the business world.  Businesses hire people for only one main reason:  they need them to perform certain jobs.  If a business isn't growing or is in a downward spiral, they don't hire.  It's that simple.

I challenge the authors of this "study" to explain how raising the minimum wage would create jobs.   If an employer isn't otherwise hiring, would telling him that he has to pay his hourly employees more give him an incentive to hire more people?  This is not only illogical, it borders on insanity.  This is what passes as policy in the liberal world, where logic and reason do not abide.  

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