Gee, Big Surprise, Governor's Economists Say Minimum Wage Bad for Crony Capitalists
I’m working my way through Professors Brown’s and Johnson’s report for Gov. Mike Rounds on the impact of the minimum wage on employment, wages, and business profits.
Guess where they come down? You’ll be shocked.
Yes, the minimum wage hurts business profits!
My God, the horror of it all!
Here are links to the report and the executive summary:
They then poo-poo the increase of income for the vast majority of underpaid South Dakota workers because a few might get laid off.
So, the minimum wage is bad for both the poor and the rich!
Who knew!
The other interesting tidbit to come out of the report is what industries have the greatest percentage of their workers making the least amount of money.
The losers?
Retail—25.4% of these employees make less than $7.25/hour.These you’d suspect. Working retail isn’t going to make you rich.
Food and Beverage stores—41.7% makes less than $7.25/hour.
General Merchandise Stores—29.4% make less than $7.25/hour.
But what does the state push? Yes, tourism. They are the WORST offenders of paying horrible wages.
Accomodation & Food Services—54.6% make less than $7.25/hour, 16.4% makes less than $5.85/hour.How many millions does the state pay promoting the state? It isn’t the maids and desk clerks getting rich from all those tourists.
So, obviously, the minimum wage hurts the tourism industry, or more specifically, the corporations that own those tourist businesses. Obviously, those folks who work in the “hospitality” industry just keep smiling and keep accepting their lousy paychecks while their corporate masters make out like bandits.
Someone famous once said there are lies, damn lies, and statistics. But these statistics reveal a state that not only refuses to pay its workers a living wage but has received the blessing of “academia” to continue the slow economic starvation of them.
How’s that working out for you, Average Joe and Josephine South Dakotan? Ready to toss out the Republican rule that’s led you to piss poor paychecks? It’s time you lifted up your heads, quit simply feeling fortunate about having a low paying job, and start demanding that your government do something meaningful to improve your economic life and not just the fat cat Mike Rounds crony who owns the business that pays you crap.
Photo: Our workers only ask for pennies and the Governor’s captured academics think even that is too much.
(Cross posted to SDW @ KELOLAND.com.)
Technorati Tags: minimum wage, Gov. Mike Rounds, economics, economy, working poor, South Dakota, crony capitalists, academics
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Todd Epp
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Reader Comments (3)
I suspect the USD Business School is very careful about which groups and interests it wishes to do research for and then may be very careful to design the research in ways to make the sponsor feel very good.
I know they are not at all interested in looking at the real impact of school destruction and building projects or both the social and economic impact of hog, dairy, and cattle factories for the pure sake of knowledge.
What does Wall Drug pay its summer migrant workers. There is 60 percent unemployment down serveral roads leading to Wall Drug.
Good point Bruce.