The Minimum Wage Increase Shows Our Congress Does Not Understand Fundamental Economics
21 states raised the minimum wage on January 1st. Many are celebrating this a civil rights victory and a great step towards fixing inequality. They are wrong; it is a sad day for US workers.
The increase has the right intention: everyone would like to see hard working people make more money. I do not know how families get by on minimum wage and I surely hope every hard working American had more means to cover their basic needs, education and to enjoy life.
The problem is that this is not how a capitalist economy works. Economic prosperity does not come as a result of legislation. In a market economy, artificial adjustments can harm the economy and result counter-productive. Continue reading “Why Minimum Wage Increases are Bad for American Workers”