Seattle’s Socialist Experiment: When it Comes to the Impacts of a High Minimum Wage, a Picture is Worth a Thousand Words

erinblog

Erin ShannonErin-S-web-103cropw writes: This sign in a Seattle nail salon is a perfect illustration of the unintended consequences of forcing employers to pay an aritificially high minimum wage.

Contrary to the claim that employers can afford to pay their workers more and will just absorb the higher labor costs, Madison Avenue Nail Spa shows what really happens–employers find ways to mitigate those costs.  This business owner has decided to pass the extra costs to consumers.

“All of these employers are doing what they must in order to deal with a mandated wage that is higher than the value of the job.”

They aren’t alone. Ivars Salmon House is also raising prices.  Ivars is also implementing a 17% service charge in lieu of tips.  The Icon Grill in Seattle is taking a different strategy; they aren’t increasing prices, but instead eliminating three weeks of paid vacation. All employees will now only earn one week of paid vacation time; before Seattle’s new minimum wage law went into effect on April 1, some long-time employees of the restaurant received four weeks of paid vacation per year.

From the dustbin of history, the zombie socialists

From the dustbin of history, the zombie socialists

“All employees will now only earn one week of paid vacation time; before Seattle’s new minimum wage law went into effect on April 1, some long-time employees of the restaurant received four weeks of paid vacation per year.”

Then there is Z Pizza–that business is closing in August, leaving 12 workers without jobs.  And long-time Seattle manufacturer Cascade Designs will move 100 of its lowest-skilled manufacturing jobs from Seattle to Nevada. Read the rest of this entry »


A Devastating Affirmative-Action Failure

By  Heather Mac Donald

A Devastating Affirmative-Action Failure The Los Angeles Times recently published a devastating case study in the malign effects of academic racial preferences. The University of California, Berkeley, followed the diversocrat playbook to the letter in admitting Kashawn Campbell, a South Central Los Angeles high-school senior, in 2012: It disregarded his level of academic preparation, parked him in the black dorm — the “African American Theme Program” — and provided him with a black-studies course.

The results were thoroughly predictable. After his first semester, reports the Times:

Read the rest of this entry »


(OMG. WHO KNEW?) Subsidies for Electronic Medical Records Leads to Higher Medicare Bills

Government subsidies often produce unintended consequences

The latest example comes from the New York Times, which reports that federal subsidizes to encourage doctors and hospitals to use electronic billing and recording records are leading to larger Medicare bills.

That means that taxpayers are taking a double hit even though policymakers claimed that electronic record-keeping would make health care delivery more efficient, and thus less costly…

More >> via  Cato @ Liberty