The Sift Here’s what we’re Sifting today

High pay, high prices, fewer jobs

by Hannah Harris
Posted 7/30/19, 10:52 am

Emeryville, Calif., the Bay Area home of Pixar Animation Studios, has the highest minimum wage in the nation: $16.30 an hour. Some small businesses are laying off employees and raising prices. Erik Hansen, owner of Moomie’s, a local cafe, told The Wall Street Journal, “I don’t think the people in Emeryville will feel like paying the highest prices in the country.” The E’ville Eye Community News, a local citizen-journalist local news platform, noted, “Nearly all the new businesses that have opened have embraced the counter service model that requires fewer employees.”

What about the rest of the country? On July 18, House Democrats approved legislation to raise the federal minimum wage from $7.25 (set in 2009) to $15 an hour in 2021. The Republican-led Senate isn’t likely to consider the bill. The Congressional Budget Office predicted a $15 federal minimum wage would lift 1.3 million Americans out of poverty but also result in about 1.3 million lost jobs.

Dig deeper: Read coverage by WORLD’s Marvin Olasky and Rob Holmes on universal basic income, the notion that the government should ensure everyone earns a certain amount.

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Hannah Harris

Hannah is an associate producer and reporter for WORLD Watch. She is a World Journalism Institute and Covenant College graduate. Hannah resides in Asheville, N.C. Follow her on Twitter @h_g_harris.

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    Posted: Tue, 07/30/2019 05:52 pm

    You can't lift people out of poverty if they don't or won't get a job. Many people on the streets don't want a job. They say they make more money panhandling.

    Think about $15 an hour. Pretty soon none of the people on $15/hr will be able to afford to eat out even at fast foods. 

    No one wants to save to buy a house any more. All want it NOW. That is how the economy failed. They were GIVEN houses, then CRASH, and it was taken away.  And then during Obama the gov't was giving money to people to keep the houses people could not afford. Our gov't must have a WHOLE LOT of money. 

    Posted: Tue, 07/30/2019 05:54 pm

    If we could just get the gov't to fire more gov't workers. 

    As a person on S.S. I can't afford a tax increase across the board.