Wednesday, January 27, 2021

Why $15 An Hour

 The Democrats begin the push for $15 an hour minimum wage today? An economist I am not. If I need a number above counting my fingers and toes it's a lost cause.

My first job paid .50 cents an hour. It was at the Dairy Queen BUT I could eat all the ice cream, burgers and fries I could handle for free. My second job, a real one, was at a refrigerator mfgr. plant. The going wage for 'newbies' or reglars was $1.67 per hour; a king's ransom. 

Skip forward to today. We're facing the strong possibility of a government mandated $15.00 hour. Is this good for the individual? Is it good for the economy and the country? There are always pros and cons.

For those on the receiving end, initially, it's good. In the long run maybe not so much.

My uneducated suspicion is those in flyover country will be hurt the most. Joanie at Bill's Bar & Grille might find herself out of a job. She'll be losing out on tip money that, most likely, pays her more than the minimum wage.

I'm obviously prejudiced over Midwesterners and their plight. Word on Capitol Hill is that there is going to be gas hike based on number of miles driven. Who, because of logistics, drives the most? Midwesterners of course. And who votes Republican most. Midwesterners, of course. Folks in flyover will get destroyed on gas and on minimum wage. 

But, I'm an economic neophyte so what do I know?

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