Jesse Jackson, Jr. Other Democrats Want The Minimum Wage Raised Again

17 House Democrats, headed up by Jesse Jackson, Jr., want to raise the national minimum wage by nearly 30% from $7.25 an hour to $10 (Click to see story from the Hill.com).   If anything could be more ridiculous in a weak and jobless economy, this is it.

These people are literally clueless when it comes to economics and business, in general.

You don't raise taxes in a weak economy and you certainly don't "force" 30% pay raises on companies that are already struggling.  According to the Bureau of Labor Statistics, about half those earning or eligible for a Federal minimum wage, are under 25 years of age.  The unemployment rate for those in that age group is already 16.2%; double the national average and even higher, if you consider Black and Hispanic youth unemployment.  Believe me, if the minimum wage is raised and businesses have to make a choice between survival and laying people off or going belly up, it will be layoffs that result.  And, I guarantee you that if an employer has to make a choice between an unmarried, live-at-home youth worker and someone who is married with a family, it will be the youth worker who hits the streets, jobless.

We already have more than 19 million people working part time in this country; and, half of those that are in this situation are forced to because of economic reasons.  One way that employers can avoid paying the Federal minimum wage is to replace a full-time worker with two part-time workers.  If the minimum wage is raised, part time worker rolls will only increase.  Many of the people who are already the hardest hit in this weak economy will suffer even further.

Finally, by raising the minimum wage by 30%, you force the wages of entry level workers to overrun the wages of more experienced workers.  This forces employers to compensate all the way up the line in a domino-like fashion.  This kind if wage/expense inflation, assuming it does kill the company in the process. will only result in price inflation for the products that you and I purchase.

Americans have already seen much of their purchasing power reduced since the recession began in earnest in 2008.  If purchasing power is further eroded through price inflation, a double dip recession is surely on the way.  After all, last week's economic news all but screamed recession with unemployment rising and economic growth stalling.  Now, with Jackson and other Democrats pushing a 30% increase in the minimum wage, its almost as if these idiots want the economy to fail.