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Minimum wage legal guidelines throughout a pandemic

From Michael Strain at Bloomberg:

In July 2019, the nonpartisan Congressional Budget Office estimated {that a} $15 minimal wage would eradicate 1.three million jobs. The CBO additionally forecast that such a rise would scale back enterprise earnings, increase shopper costs, and sluggish the financial system.

The U.S. financial system can be very weak all through 2021. The nation will want extra enterprise earnings, not much less; extra jobs, not fewer; and sooner, not slower, financial progress. A $15 minimal wage would transfer the financial system within the incorrect route throughout all these fronts.

I absolutely agree, and in reality would go additional.  On Twitter I wrote in response to Noah:

Surely in a pandemic these businesspeople are proper and the accrued non-pandemic analysis literature doesn’t apply a lot, proper? Pretty a lot all fashions indicate we must always reduce the minimal wage, if solely briefly, for small enterprise on the very least.

Put in no matter unique assumptions you want, a fundamental mannequin will spit out a decrease optimum minimal wage for 2020-21, once more for small enterprise on the very least.  This is the recommendation that main Democratic economists needs to be providing to Biden.

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