A new annual report from Truth in Accounting found Connecticut has $67 billion in bonded debt and unfunded retirement costs, making it the third most indebted state per taxpayer in the nation. The total debt, which amounts to $50,700 per taxpayer in the state, is based on Connecticut’s 2019 financial ...
Hold Off on Minimum Wage Celebration
You can expect some liberal populist triumphalism about the fact that, over the last six months, the 13 states that raised the minimum wage gained jobs faster than the states that didn’t.
It’d be great if that turned out to be true, always and forever.
But any celebrating now is premature. Here’s why:
First, as the linked article notes, even the economists who support a higher minimum wage as a policy matter acknowledge that there’s no cause and effect, noting there are many possible reasons that certain states’ hiring might have quickened.
Second, six months is a pretty short snippet of time. Indeed, a prominent study found that other studies that attempted to show that there was no adverse hiring impact on minimum wage hikes could do so only by using a certain statistical method — or looking (as here) at very short time periods.
Third, the real tragedy in our economy isn’t the amount of the minimum wage. It’s that:
(1) An increasing percentage of jobs are only part-time (when lefties herald new jobs being “created,” they conveniently omit the fact that they’re not full-time) and
(2) The historically low participation in the labor market, with only 47.7% of adults working full-time; and
(3) Historic levels of long-term unemployment.
An updated report by the Federal Reserve on Friday says that 77 percent of 4,174 people surveyed said they were doing “okay” financially during the pandemic, an increase of 5 percent since the survey was conducted in April. But the study also shows that many people are not expecting to ...