May 22, 2017
Hint: No. In fact, I would argue that raising the minimum wage makes becoming trapped in poverty more likely, because it become less and less affordable to hire the unskilled and marginally skilled and then train them, as opposed to hiring someone who already has the skills.
But that’s economics, something the Left thinks it can bend its will. Think again.
Anyway, here’s a short video from Prager University on the topic:
August 8, 2016
Okay, it’s a trick question. The answer is “yes” and “no.” Yes, the government has the power to regulate almost all the economy (especially since the horrific Wickard v. Filburn case).
But it is also an emphatic “no,” because government rarely does a good job. In fact, government regulation often does more harm than good. A much better alternative is to let the economy run itself in a free market.
For Prager University, Steve Forbes explains why:
Now put down your pencils, close your exam books, and turn them in as you leave.
July 22, 2016
When writing about the minimum wage or Obamacare, I’ve often made the point that, in the face of government-imposed higher costs, businesses have few choices:
- Pass the cost on to the consumer by increasing prices
- Reduce costs by cutting back on labor (reduced hours, automation, &c.)
- Accept a smaller profit margin
- Or just say “screw it all” and go out of business
The following video from Prager University makes a similar point, using that American icon, the kid’s lemonade stand, as an example:
Progressives take note. This is a lesson you need to learn.
By the way, those evil oil companies the Left likes to rail at? Their average profit margin is just above six percent. You know what industry has a larger profit margin? Law firms. They net on average a whopping 30 percent.
Maybe the government should regulate law firms?