« Meals Tax? Pittsylvania Voters Say 'No' to Their Political Elite | Main | Arlington Homeowner Alert »

Trust Free Markets, not Pandering Politicians

Today's New York Times (regular version -- print version) reports: "Burger King is offering a $6,000 signing bonus to anyone who agrees to work for a year at one of its New Orleans outlets. Rallys, a local restaurant chain, has nearly doubled its pay for new employees to $10 an hour. On any given day, contractors and business owners pass out fliers in downtown New Orleans promising $17 to $20 an hour, plus benefits . . . " Contrast that to an "economic snapshot" from the organization cited by one of Arlington's delegates in the General Assembly who "believes it his duty to make employers pay them higher hourly wages" (reference Capital Freedom, October 17, 2005). In their "economic snapshot" dated November 9, the Economic Policy Institute discussed the "extreme levels of joblessness" faced by Katrina evacuees "especially those who have yet to return to their homes."

So while the free market in New Orleans raises the wages of those willing to work, one of Arlington's renowned politicians wants to raise Virginia's minimum wage because he thinks he know better than the free market. For those who have yet to visit Capital Freedom's blogsite, I recommend it because her analyses are especially incisive. For more on minimum wages and the so-called living wage, visit the Employment Policies Institute. For why wages rise, see the classic 1956 article posted at the Foundation for Economic Education.