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Tuesday, September 30, 2008

Raising Minimum Wage

A major component of the Obama/Biden economic strategy is to raise the minimum wage (don't take my word for it, it is clearly stated on the Obama website). Let's take a moment to digest just how exactly an increase in minimum wage would affect our economy.

How will employers pay for an increase in the minimum wage? Do we honestly think that businesses such as Wal-Mart, Target and all our grocery stores will just eat those added payroll expenses out of their own pockets? Of course they won't! They will either need to lay off employees, cut back hours or RAISE PRICES to compensate for a higher minimum wage. The alternative for most small businesses would mean going out of business completely. Meanwhile, there are those Americans who get paid a salary. Americans earning a salary will not benefit from a minimum wage increase whatsoever. Higher prices and inflation will make a $50,000 a year salary seem like much less. As for those who will be receiving higher wages due to this increase, well their budget won't get any better either. Higher pay doesn't matter much if you just have to spend more!

I just don't see how fewer jobs, higher prices and a decrease in the value of our dollar is going to help anybody.

6 comments:

Rohatinsky Family said...

It's funny to me how good he makes everything sound...when in reality it just bites us harder than before. Funny how that works!

k.young said...

I'm glad I have you to keep telling me more reasons to hate Obama. I don't have the time or energy to follow it very closely.
Tory, go get family pictures taken.

Rowdy said...

Watch any of the anti Wal-Mart documentary films out there. It is a fact that WM will reduce benefits, hours and number of employees when faced with mandatory wage increases.

Look at our once family owned businesses. Costs to the business owner are "paid for" but cuts to the employee. You have to do it.

People need to realize it is a global labor environment. Just cause you are an American high school graduate, you are no longer going to get a factory job paying you 40-50 thousand dollars a year. No more.

The answer? Education!!!

Molly said...

Amen to it all! I also like that you are keeping me up to date politically. I kinda have a tendency to be out of sight out of mind, which is not good. At least I do vote. I also have how Obama sounds so flowery and yet what he is really saying is mind boggling. I know several people who have said they might vote for him because of how he speaks, but they don't even really know what he is saying! That's a little scarey. Love you sis!

Molly said...

Oh, by the way, your blog is super cute too!

Jenny said...

Bravo! Obama is such a dunce!

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