Democrats Fail Economics

Two separate articles. In the first one several California cities enacted “hero pay” rules for “front line” workers in such places as grocery stores during the Wuhan Flu epidemic, giving these workers $4 to $5 more per hour, effectively increasing the already excessive minimum wage in the state. You see, thanks to California’s generous labor laws workers were already making $18 to $24 an hour. Anyone who knows the first thing about the grocery business know it operates on razor-thin margins. The result of this state sanctioned pay boost? A number of large grocery chains, including Kroger closed multiple stores and let go of workers. Hundreds of workers lost their jobs overnight. The kicker? This only applies to the big retailers. That makes sense.

More California cities experiment with “hero pay” leading to predictable results (hotair.com)

In the second article it is pointed out that there is a nasty little rider attached to the government’s just passed “Covid relief bill” that prohibits states from cutting taxes. What does this have to do with Covid relief? So bad is the situation in Democrat states and so bad is leftist economics that they actually have to try to punish well-run conservative states. I suspect this will be challenged in court and struck down. It is a gross violation of Federalism.

Democrats slip sneaky little rider into stimulus bill to forbid states from cutting taxes – American Thinker