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Katy Grimes

Gov. Jerry Brown’s Minimum Wage Gift to Unions Is No Legacy

Despite all the evidence that increasing the minimum wage does little or nothing to reduce poverty, California Gov. Jerry Brown and the Democrats in the State Legislature just passed another minimum wage increase. Not one Republican in the Assembly or Senate voted for the bill, and all Democrats, save two, voted for the minimum wage increase.

The minimum wage has always been an arbitrary figure. If the arbitrary minimum wage is inflated, this also inflates prices, leaving low-wage workers spending more on everything.

This political decision by Brown will likely come back to haunt California, much as the 1999 political pension deal signed into law by Gov. Gray Davis… Read More

Edward Ring

California’s Economically Illiterate Legislature

California’s minimum wage is set to rise to $15/hour over the next six years. While this topic has been beat to death, it is seldom pointed out that the inflation-adjusted minimum wage, based on 78 years of precedent, at most should only be around $10 per hour. Arecent UnionWatch post “Raise the Minimum Wage, or Lower the Cost of Living?,” proved this using CPI data. As can be seen, only once, in 1968, did the minimum wage in 2015 dollars exceed $10/hour.

Historical Minimum Wages Expressed in 2015 Dollars

A lot of things have happened since 1968, of course. To name just two, theearned income tax creditdidn’t arrive until 1975, and theAffordable Care Act, offering health insurance to low-income… Read More

Richard Rider

The five reasons why San Diego pro sports teams are perennial losers. Taxes play a big part in this tradition.

The five reasons why San Diego pro sports teams are perennial losers — in the past, present and particularly in the future. Taxes play a big part in this tradition.

San Diego is a great place toplayoutdoor sports — terrific weather, low humidity, little rain (let alone snow) and no wind. But for a star professional athlete making big bucks, economically San Diego is a bad choice. And recently it’s been getting worse.

To be fair, our city’s loser tradition dates back generations. Wikipedia lists only one major league championship in San Diego’s history — in 1994 the Chargers won the AFC Championship, putting the team in the Super Bowl (where the San Francisco 49’s kicked their butts, final score: 49-26). No other significant American city has as few championships over the years.

https://en.wikipedia.org/wiki/List_of_North_American_cities_by_number_of_major_sports_championships

Pro teams have figured out that… Read More

Richard Rider

Most of Europe Is a Lot Poorer than Most of the U.S.

Below is an excellent article comparing the financial success of Europe vs. the United States — and specifically with the STATES of the U.S. As has been previously demonstrated, most Europeans are less well off than America’s lower income folks.

While this includes great data, and is based on the fine work of Economics Professor Mark Perry (I’m a fan), it does an inadequate job of adjusting for the COL in the American states and European countries. There is one chart giving the CONSUMPTION comparison which dramatically demonstrates the superiority of America vs. all the European countries, but it would be even more interesting to break that down for a state by state comparison to European countries. Ah well, it’s good enough as it is.

BTW, IF you are interesting in how our American prosperity compares between U.S. states, see my article comparing state per capita GDP adjusted for COL. For instance, you’ll find that, adjusted for COL, the per capita GDP of Texas is about 45% higher than CA:… Read More

Jon Coupal

WHY AVERAGE CITIZENS DON’T COUNT IN SACRAMENTO

For average Californians, the news out of Sacramento is seldom good.

Finding ways to increase the tax burden, eliminate the taxpayer protections in Proposition 13 and increasing the cost of living seem to be the preoccupation of most members of the Legislature. The majority of bills that are introduced are designed to give special interests an advantage over their competitors and/or taxpayers.

To illustrate how this can work, let’s look at an issue state regulators faced some years ago. The burning public policy question was whether or not dog groomers should be allowed to clean dogs’ teeth. No, seriously. Veterinarians argued that this should be their exclusive purview because they can perform this procedure more “safely.” Dog groomers claimed this was just an attempt by animal doctors to eliminate competition so they could increase the cost to consumers, who, because of higher prices, might be less attentive to their pets’ needs.

To read the entire column click here… Read More

Barry Jantz

San Diegans announce effort to establish a new Trump Party

Named for presidential candidate, new political party said to ‘trump’ the failures of Republicans and Democrats

Claiming they are sick and tired of politics as usual, a group of disenchanted local Republicans and Independents, as well as a few Democrats, released plans today to establish a new political party named after Donald Trump.

Under the banner, “Make America Great Again,” organizers say they are filing initial paperwork with the Secretary of State’s office to become an official party in California by the 2018 election cycle, with longer-term plans to expand into several other states.

Steve Grantham, a local auto dealer and self-described anti-tax advocate, says the choice of the name “Trump Party,” although inspired by the front-running GOP presidential candidate, transcends the name alone. “The guy has motivated many like us to find some hope in the future again,” said Grantham. “He inspired our name for the party, but it’s more than that. Whether Donald wins or loses in November, the effort will continue. Our new party will ‘trump’ the… Read More

Give Our Community What We Want – Smaller Government and Local Control

When looking at this year’s Presidential campaigns on both sides of the aisle, many people are surprised to see how successful the outsider candidates have been and what a tough time the traditional “establishment” candidates have had. Everyone has their theories, but a popular and recurring theme is that both parties are not listening to their base. On the Republican side, conservatives have been unwavering in their commitment to smaller government and receiving the best service possible for their tax dollars and not simply rewarding big donors or making big government agencies… Read More

Richard Rider

CA wants business to pay part-time workers 4 hours pay for any change in their work schedule

I spend much time fighting against ever-higher California taxes. But ask any business person what is worst about California, and “taxes” will NOT be at the top of the list. I conjecture that California LAWS and MANDATES take the top spot, with our LITIGATION climate in 2nd place, vying with our high COST OF LIVING for that runner-up spot.

Included in that top spot is the new $15 minimum wage, a cost that is far, FAR greater for most businesses than any tax increase. Especially so when one remembers that social security contributions and workers’ comp premiums are calculated in part on the amount of the employee pay.

Add to that business cost the latest scheme below, where (among other things) any company that changes the work schedule of PART-TIME workers without two WEEKS notice will have to pay the worker four hours of pay for the inconvenience.

Ultimately the goal seems to be to greatly reduce the number of part-time workers, because these folks are unlikely to join a labor union. Which explains who is BACKING this measure.

According to the “Business Climate” analysis by the Tax Foundation, California is ranked… Read More

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