If you thought help for the coronavirus was on the way, think again. President-elect Joe Biden’s plan to provide economic relief is going to cause a lot of pain and waste a lot of money on people who do not need it.
At a time when the nation’s entire problem is that so many people are out of work due to government restrictions on business, Biden wants to make it illegal to work for less than $15 per hour. That is the real-world effect of raising the minimum wage to that level, and it will be devastating for people living and working in poorer parts of the United States. It is a terrible idea right now to impose a massive labor cost increase on businesses that are already struggling to stay open. But even worse, the nonpartisan Congressional Budget Office has recently estimated that such a move, despite giving a slight raise to as many as 17 million people, will destroy up to 3.7 million jobs overnight. So, if the goal is to harm those most affected by the coronavirus and reward those who got to keep their jobs, then Biden’s plan is just the thing.
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