Cartoon by Henry Payne.
Thomas Sowell writing in “The Thomas Sowell Reader”:
“It would be comforting to believe that the government can simply decree higher pay for low-wage workers, without having to worry about unfortunate repercussions, but the preponderance of evidence indicates that labor is not exempt from the basic economic principle that artificially high prices cause surpluses. In the case of the surplus of human beings, that can be a special tragedy when they are already from low-income, unskilled or minority backgrounds and urgently need to get on the job ladder, if they are ever to move up the ladder by acquiring experience and skills.”
Update: Here’s another challenge to proponents of the minimum wage based on Thomas Sowell’s quote above, and this related quote from Milton Friedman: “The effects of the minimum wage have been concentrated on the groups that the do-gooders would most like to help. The people who have been hurt most by the minimum wage laws are the blacks. I have often said that the most anti-black law on the books of this land is the minimum wage law.”
Q: How do supporters of the minimum wage defend a law that disproportionately and adversely affects low-income minority groups, especially low-skilled black teenagers (current jobless rate is 37.8% for black teens and 43.3% for black male teens)? Or do you deny the claim that the minimum wage disproportionately affects low-income minority populations?