President Obama’s State of the Union Address brings to mind a washed up magician at a child’s birthday party.
In an attempt to distract from the ObamaCare train wreck and struggling economy, Obama trotted out as many tired old big government tricks as he could.
And alongside his usual tax-and-spend clichés, he decided to dust off the old reliable “rabbit in the hat” of big government politicians — a minimum wage increase.
Of course, NLT members know that a minimum wage increase is the last thing this country needs.
And since he can’t get Congress to go along with his scheme, the President decreed that federal workers would see an increase in their minimum wage to $10.10 by the end of the year.
He insists that the panacea for poverty is to mandate a minimum wage increase for all workers.
If an increase to the minimum wage is the real solution to our financial woes, we may as well raise the minimum wage to $100.
Of course that’s ridiculous.
A minimum wage increase may mean bigger numbers on a paycheck for some workers, but all it does is increase unemployment and drive up the costs of goods and services.
By raising the minimum wage, youth and minority unemployment will be particularly hit hard as employers bear the increased cost of hiring part time and entry level work.
In reality, everyone will be worse off.
But Obama wants voters to think that he can just wave a magic wand and mandate wage increases without consequence.
Of course, that’s a load of nonsense.
As Milton Friedman said, “there is no such thing as a free lunch.” Someone has to pay.
And who ends up paying for the minimum wage increase?
Why, taxpayers, savers, job seekers and employers, of course.
Obama will do anything to distract from how disastrous his tax-and-spend policies have been to our country.
And the National League of Taxpayers will be fighting on the front lines to expose big government politicians and their tax-and-spend schemes as the frauds they are.
And we’ll be ready to give them the boot this fall.
NLT President Gary Paumen