printRobbing Peter to pay Paul impoverishes. Put differently: this month, the proverbial Peter was unable to create prosperity that would have redounded to all Americans. The leech-in-chief and the political parasites surrounding him have put in place policies which guarantee that the U.S. job market flat-lines, as it did this month. “The worst performance since last September, the Labor Department said.”
Heartbreaking are the images of “job seekers waiting to enter job fairs”—which in themselves often appear to be feel-good affairs organized by ruthless politicians eager to be perceived as doing something.
In the interim, when he’s not preparing to wow us with his words—a disappearing act would be more welcome—President Obama is hiring. He has just nominated a new bloodsucker to advise him on economics. Does Alan Krueger truly believe that fixing the price of labor via minimum wage laws is not such a bad idea? Apparently so.
Considered a form of price control, minimum wage laws create poverty by creating unemployment among the poor and unskilled. “Fixing the price of labor above the market rate or the productivity of the employee as the minimum wage does causes surpluses of labor. The jobs would exist had government not legislated them out of the reach of those who need them.”
They are the individuals in the images.
BHO is also poised to do some more taxing, printing, and borrowing.
A glimmer of good news can be gleaned from the WSJ report: “Cuts in the public sector entirely offset the private sector’s gain of 17,000 jobs.”
If only the poor people standing in line at these job fairs—often only to meet and greet a greasy politician—understood that every little slash at the “Oink Sector” helps to seed a job in the real sector.
Government should not have any RESPONSIBILITY for the creation of jobs. What it should do is not interfere with the commercial sector’s operation. Also, jobs SHOULD BE DESTROYED but a developing economy usually creates new jobs out of the destruction of the outdated jobs (e.g. Henry Ford destroyed the jobs of horseshoe makers).
Minimum wage laws make life better for those workers whose jobs cannot be exported or replaced by machine but worse for those whose jobs disappear. Sadly, the welfare state’s gunpoint “altruism” is often better than the minimum wage so marginal workers often face a nearly 100% de-facto “tax” rate when their wages get matched by cuts in (unconstitutional) government “aid”.
I will caution that one should distinguish between the “commercial” sector (e.g. products sold to willing buyers at Costco) and the “private” sector because 30% or more of the “private” sector consists of the Blackwaters, Lockheed Martins, and other “government contractors” that suck off the taxpayer udder.
Saddest, watching the two dominant socialist parties (the leftist secular “workers” Democrats vs. the rightist religious “corporatist” Republicans) discussing the economy makes me want to vomit. Their differences are 99% stylistic and 1% substantive but it fools the voters everytime.