They say: A single number can change the public debate on an issue that seems stalled. Two weeks ago, such a number appeared in a report by the Center for American Progress and the Institute for Research on Labor and Employment that connects a higher minimum wage with decreased costs in the federal Supplemental Nutrition Assistance Program, or SNAP, formerly known as food stamps.
The number is $4.6 billion, and it represents how much money taxpayers will save annually if the federal minimum wage is raised to $10.10 per hour. Paying workers a higher minimum wage will reduce their need for federal assistance, creating huge savings for the taxpayer-funded program.
The report, “The Effects of Minimum Wages on SNAP Enrollments and Expenditures,” documents the connection between higher wages and lower public spending on SNAP in a clear and measurable way. For instance, every $1 increase in family earnings brings a 30 cent drop in SNAP benefits. Given such savings, political opponents of a higher minimum wage who also want to slash safety net programs such as SNAP will have a hard time justifying their actions. After all, if they want to cut government spending, the best way to do so is by raising the minimum wage.
“You can’t have it both ways,” said Melissa Boteach, Vice President of the Poverty to Prosperity Program at the Center for American Progress. In an interview for this column, Boteach pointed out the multiple contradictions in conservative arguments that complain about government spending programs but ignore the solution staring them in the face.
What they do not consider is how many people will no longer be working because of the increase in expenses the employer cannot afford, how many people will not be hired because of the same increase, and how the Marxists will be screaming to raise all the levels because of the increase in the cost of living which brings the wages paid to the same relative amount they were before the increase and an increase in government spending takes place as opposed to the decrease the claim.
These artificial increases in wages have never had a real positive affect for anybody, much less those they are intended to help. When the Marxists realize the best program for all is real growth in the economy which produces more jobs, better jobs and real income growth for all, the gimmicks they tout, which are and always have been detrimental, will not be needed. Lower taxes and less regulation are the keys to a real increase in wages for all. That is not what the Marxists want. They want a conforming society with income based on need and not production. The result is always what is happening in Venezuela today.