The Minimum Wage – Destroying Jobs One City At A Time

In 2004, Santa Fe raised its minimum wage to $8.50 / hour and set a schedule to raise it to $10.50 by 2008.

What was the result of such a policy you ask? University of Kentucky economist Aaron Yelowitz studied that very thing, he concludes:

The results here unquestionably show a decline in labor market opportunities for less-educated adults. This manifests itself in higher unemployment, longer unemployment spells, more involuntary part-time work, fewer full-time equivalent jobs, labor substitution toward teenagers, and perhaps most surprisingly, in no detectable wage gains.

In other words, the minimum wage is bad, but it is especially bad for low skilled workers, and because that is an area of the work force where minorities are in high percentages, the minimum wage is especially bad for minorities.

The Heritage Policy blog has more.

3 Responses to “The Minimum Wage – Destroying Jobs One City At A Time”


  • Data from U.S. Department of Labor’s Mine Safety and Health Administration @ http://www.msha.gov

    United States mining fatalities in the last four years of the Clinton administration and the first four years of Bush’s administration.

    year – fatalities
    2004 – 54
    2003 – 56
    2002 – 67
    2001 – 72
    Bush’s administration
    2000 – 85
    1999 – 90
    1998 – 87
    1997 – 91
    Clinton’s administration

    Liberals are trying to blame the Bush administration for the deaths of the 12 coal miners in West Virginia because they say Pres. Bush relax safety regulations but look at the numbers. Despite the fact that coal production is up in the mining industry now over 4 years ago (result of the boom in the energy sector) less people are dying.

    I guess less regulation equal less deaths in mines! Who knew?

  • HP, the U.S. Department of Labor is an arm of the Executive Branch, which means that they work for Bush.

    So you’re quoting statistics that say that Bush’s employees say the the boss is doing a great job.

  • Whoops, sorry, that wasn’t HP who said that–it was Myron.

Leave a Reply