The Reason Politicians Hate Uber: Bernie Sanders Explains

Bernie Sanders articulates what every politician feels about ridesharing operations: they are free and therefore wrong. Remember when we were told that the terrorists from the Middle East hate us for our freedoms? It was half true. There are people who hate us for our freedoms. But they are from the United States. They are politicians. Bernie Sanders was recently interviewed at Bloomberg.com. He mentioned Uber, the rideshare company. Asked about his proposal to phase out the “tip credit,” Read more […]

All Women’s Employment Gains Were from Foreigners since 2007

Women’s employment has fallen much worse than people realize since the recession but immigrant women are gaining jobs. We have reported before on this blog about how women have been especially suffering in the Obama economy. If one blames George Bush for the 2007 recession (which I believe is a completely legitimate verdict) then we can allow him to share some responsibility for the problem. But it is indisputable that labor participation for women has been a disaster since 2007, which is why Read more […]

Food Stamps and the Low Labor Participation Rate

Why wouldn’t labor participation be low if people get free food but don’t have to look for work? Here is a really interesting headline from Fox News: “Most states waiving work requirements for food stamps, despite improving job market.” Most states still are waiving work requirements for those on food stamps, raising concerns that despite an improving job market the Obama administration is feeding government dependency — and all at the expense of taxpayers. Forty-four of the 50 states Read more […]

What Happens When a CEO Pays a $70k Annual Minimum Wage?

Only a few months ago David Price announced his experiment of paying everyone in his company the same annual minimum wage. Already we are seeing results. Back when it was first announced, both Mark Horne and Bob Allen commented on Dan Price’s new payscale. Mark was a bit more pessimistic. He wrote in part: What we don’t know is whether his business will make it under this new scheme. Hopefully it will. But it will bring certain challenges. For one thing, is Price going to expect everyone Read more […]

McDonald’s Still Declining because Food Overpriced: Raise Minimum Wage?

McDonald’s tried to ditch their dollar menu but customers are finding the food overpriced. Mark Horne has written about the problem facing McDonald’s before. It is also a problem for advocates of raising the minimum wage. A recent report shows the problem is still weighing McDonald’s down. According to CNBC, “McDonald’s is losing fierce fast-food fight.” Last week, McDonald’s reported its global comparable sales fell again, dropping 0.7 percent in the second quarter. Meanwhile, Read more […]

Raise Minimum Wage and Workers Cut Hours to Keep Welfare

Reportedly, Seattle’s law to raise minimum wage is running into a conflict with the welfare state. As Mark reported back in 2013, one attempt to propagandize for a higher minimum wage was to accuse large companies using unskilled labor of being “welfare queens.” McDonald’s and Walmart were smeared with this term because anyone who was trying to live on a single income as one of their employees would need government assistance to live. The idea was pushed that McDonald’s and Walmart are Read more […]

Don’t Believe the Unemployment Rate

So, the government tells us the unemployment rate is just over 5%. These are the same people who told you “if you like your doctor, you can keep your doctor”… that the attack on the Libyan embassy was a “spontaneous protest of an Internet video” no one saw… bureaucrats who claim the cost-of-living is lower because you can substitute cat food for steak (hedonics), and that there has been no price inflation, therefore they don’t have to increase government checks for those dependent on them… Read more […]

Commission Destroys Uber as a Viable Business

Uber is a rideshare app that the California Labor Commission has ruled is an employer that owes employment benefits. As the economy get worse, developing new ways of living more cheaply becomes more and more important. Ridesharing technology is one of those revolutionary innovations. I have argued that it has the potential to end the day to day torments that are behind the protests in Ferguson. Taxi Cab companies are even demanding bailouts because of ridesharing services. But now a judge in Read more […]

David Brooks Tries to Find Good News in Youth Job Crisis but Thirty is Too Late

David Brooks shares some sobering news about college grads and then tries encourage readers that it is not so bad. The encouragement is not convincing. I don’t often write positively about David Brooks because I think almost everything he ever says about foreign policy and national security are delusions that, when acted upon, increase chaos among the nations and leave the United States less secure. But this editorial in the New York Times was mostly good: “How Adulthood Happens.” The Read more […]

Democrats Block Obamatrade

Wha-a-a-a-a-a? … It’s finally happened. The day has come when the House Democrats’ actions are actually saving the Republic from the Republican leadership and the ambitions of the Democrats’ own creation, President Obama. That’s right. The party that was so happy a year ago about Obama’s ever-expanding usurpation of powers that some of its members were sending him lists of topics to use executive authority on, has just blocked Obamatrade. It wasn’t solely the Democrats’ doing, of course, Read more […]

Daily Beast Writer Figured Out Minimum Wage Hurts Poor

She writes as if she hates admitting that real economists have said for centuries that raising the minimum wage hurts poor people. Even as she raises the issue she tries to make “conservative economists” appear unreliable: This week, the Los Angeles City Council voted to increase its minimum wage to $15 an hour, from the current $9, by 2020, joining the ranks of other liberal cities like Seattle and San Francisco who are acting despite federal inaction on the issue. But L.A. is the largest Read more […]

Once Again, Labor Force Participation Rate Sinks to Record Low

More people are not part of the labor force than has ever been the case since 1977. Why do we keep blogging about this story in 2012, 2013, 2014, and now? Because the labor force participation rate keeps getting worse! In fact, according to this chart from Zero Hedge, the trend line has been steadily getting worse since the middle of Bush’s first term. No, not George W. Bush! I’m referring to the one-term presidency of George Herbert Walker Bush (see the lower chart). In order to Read more […]