Tuesday, February 18, 2014

CBO: Minimum Wage Hike Could Cost 500,000 Jobs

Raising the U.S. minimum wage to $10.10 an hour from its current $7.25 would cut total employment by about 500,000 workers by late 2016, the Congressional Budget Office estimated in a report. 

The CBO looked at two options for raising the minimum wage, as President Barack Obama and Democrats are proposing to do. The nonpartisan agency said the range of job losses under the $10.10 option is between "a very slight reduction" and 1 million workers, with the central estimate 500,000. Under the other option analyzed, a $9 minimum wage, CBO's estimate was there would be 100,000 fewer workers by 2016.


  1. An interesting paper recommend by Thomas DiLorenzo "A PUBLIC CHOICE VIEW OF THE
    MINIMUM WAGE by Thomas Rustici" has a good quote by Benjamin Anderson which states:

    “Roos estimates that, by reason of the minimum wage
    provisions of the codes, about 500,000 Negro workers were on relief
    in 1934. Roos adds that a minimum wage definitely causes the displacement
    of the young, inexperienced worker and the old worker.”

    Here is the PDF download:


  2. Sometimes I ask the question if those who support a minimum wage increase (or hell the minimum wage itself) are this stupid or that evil.

  3. “Begin each day by telling yourself: Today I shall be meeting with interference, ingratitude, insolence, disloyalty, ill-will, and selfishness – all of them due to the offenders’ ignorance of what is good or evil.”
    ― Marcus Aurelius, Meditations


      I'll add that to my file.

      Another (cant recall author) is "Never ascribe to Malice that which can be explained by Ignorance" or words to that effect.

    2. Great quote, thanks.

  4. Queens Library CEO Thomas Galante, shown, is in Queens Borough President Melinda Katz's crosshairs after his $2 million golden parachute, $392,000 salary, $200,000 secret job and bill for $140,000 in renovations to his executive offices came to light.

    And now comes to light another astonishing perk — Galante’s employment contract guarantees him a payout of nearly $2 million if he is dismissed.

    That’s right, $2 million in severance — for a head librarian.
    The Daily News reported earlier this month that Galante received a whopping $392,000 salary in 2013, plus a sports car, to run the borough’s taxpayer-funded library system. And The News was first to report that he spent nearly $140,000 on renovations to his executive offices — including a $26,000 private smoking deck.
    Read more: http://www.nydailynews.com/new-york/queens/queens-president-trustees-nix-money-flush-library-head-2m-exit-deal-article-1.1619207#ixzz2tmfeGOIu

    this is what costs jobs...theft.

    1. I'll bet he is for raising the minimum wage too