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August 22, 2011

This is Another Edition of Why NH Is Worse Than FL

by at 4:43 pm.

I feel like I’ve used a similar title recently. ;-P

Anyway, who needs steenkin’ poor people to make a living wage, anyway? Especially when your vote against working people is…totally moot.

Saying that the minimum wage kills jobs, yesterday New Hampshire’s Tea Party-dominated legislature abolished the state’s rules on the issue. As is so often the case, however, it was a meaningless move.

The change takes effect Sunday, but it will have no consequence for employers or employees because New Hampshire’s minimum wage was the same as the federal wage, which remains in force. During the fight over the removing the state law from the books, Republicans insisted the wage law not only makes it harder to create jobs, it kills them.

[snip]
First term GOP state Rep. Carol McGuire, the repeal’s sponsor, says young workers aren’t worth the minimum wage anyway: “It’s very discriminatory, particularly for young people. They’re not worth the minimum.”

Corporations don’t kill jobs. Minimum wage kills jobs. *facepalm*

That’s why Massachusetts, which has a higher minimum wage than the federal’s $7.25 (MA is at $8.00), has one of the slowest rates of economic growth in the nation - oh, wait.

Just for comparison, NH does have a low unemployment rate of just 5.2%:

But you’ll note that VT also has a very low rate of 5.7% as well, and their minimum wage is higher than ours ($8.15). And to add to that, between workers working in MA, VT, ME etc, fully 19% of NH’s workforce don’t work in NH.

Just sayin’. Not that we don’t welcome the 13% of NH’s citizens paying our income tax, mind you.

There’s reality, and then there’s the redneck leaders of NH’s ginormous volunteer legislature…

[HT to the Mr.]

8 Responses to “This is Another Edition of Why NH Is Worse Than FL”

  1. waittilnextyr Says:

    NH has a lower unemployment rate because half of them work in MA, and the other half work in malls.

  2. HesterPrynne Says:

    Hi Lynne - another sad entry for your file on N.H. You must have needed to add a new cabinet or two after the 2010 election.

    http://www.bluehampshire.com/diary/13296/a-sad-goodbye-from-nh-legal-assistance

    HP

  3. Lynne Says:

    Seriously, WHAT IS WRONG WITH THAT STATE???

  4. Shawn Says:

    aint statistics fun..

    So, what is the rate of employees actually earning the minimum wage in massachusetts who live in NH?

    What is the rate of employees actually earning the minimum wage in each state?

    The unemployment rate for teens is kept artificially high by this minimum wage law. Its not meant to be a “living wage” but a wage for part timers and kids.

    WHen the government sets a minimum however, you create a lack of competition and instead of being able to hire one or two more at each ice cream stand, beach front shop, or part time mall job, you lose that ability because of an artificially increased wage.

  5. Mr. Lynne Says:

    Compared to markets (anyone buying anything lately?), wage rates at the low margin hardly affect employment at all. Do stagnant markets depress wages? Sure, but you have to show an extra step to show that such wage effects lead to employment effects when you hit the floor of the wage scale. The efficacy of this position would depend on margins. Given that profits are generally up, nobody is going to ’save capital’ by hiring any less than what will satisfy whatever production the markets can sustain. Thus in this context, minimum wage has hardly an effect at all and the gorilla in the room is demand - a phenomenon that is significantly helped by (wait for it….) wages.

    In the context of a capacity shortage, you’d have an argument. In the context of an absolutely outrageous amount of excess capacity, the markets dictate all.

  6. Christopher Says:

    There are plenty of ADULTS stuck in minimum wage jobs who may or may not get higher-paying jobs anytime soon and in some cases have to support others. The minimum wage has lost its purchasing power over the years and probably should be higher ($10/$12). As long as you are required to be on the job your time alone is worth a certain amount. If we start setting different wages for different people companies will only higher those with a lower minimum thus leaving others out of work. Thank God there is a federal floor to guard against this race-to-the-bottom attitude on the part of some states. Everybody deserves a “living wage” regardless of their jobs.

  7. Lynne Says:

    Having started my career (such as it was) out of college in NH, I can tell you without caveats that the minimum wage DOES affect entry-level and basic job wages in NH. Without it, I doubt those on the bottom end of the spectrum could feed their families (in fact I doubt they can in southern NH at least on the current federal minimum wage).

    I was college-educated and started at pretty much the bottom. Someone without a college degree DEPENDS on a living minimum wage, a floor under which a company cannot take advantage of them.

    But you know, those are “compassionate conservatives.” Ha, an oxymoron if I ever heard one.

  8. waittilnextyr Says:

    Maybe they are attempting to follow the Texas concept of having more jobs, with the pay so low that each breadwinner needs two or three of those jobs to make ends meet. Makes for good sound-bite statistics in election season, if not a quality lifestyle for its residents.

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