Tag Archives: Teen Unemployment

Bernie Sanders And Economics

Bernie Sanders

There is no doubt that Bernie Sanders is not alone when it comes to inconsistencies in his world view.  But he’s such an interesting character, at least he honestly identifies as socialist, that it’s impossible not to find humor in his policies.

Bernie feels that certain economic laws apply to conditions while believing, seemingly randomly, that others don’t.

For example, Sanders feels that open trade agreements move work over seas; the idea being that corporations will flow where the less expensive labor exists.  A concept that I whole heatedly agree with – YEAH Bernie!  On the other hand Mr. Sanders does NOT feel that raising the minimum wage will have much the same impact on marginally skilled workers – BOO Bernie!

All this came to mind when I discovered Mr. Sanders’ objection to open borders:

“What they are talking about is completely opening up the border,” Sanders responded. “That was the question. Should we have a completely open border so that anyone can come in the United States of America? If that were to happen, which I strongly disagree with, there is no question in my mind that that would substantially lower wages in this country.”

Good for Bernie.  He’s right, of course, that allowing unskilled workers in from our neighbors to the south to bid on and compete for jobs will reduce the rate at which employers will need to pay.  Further, it will erode the most marginal, the less educated and least skilled, workers.  So yeah, he’s right – and I’m surprised.

Further, Mr. Sanders continues and is able to point out exactly who those folks might be:

“When you have 36-percent of Hispanic kids in this country who can’t find jobs and you bring a lot of unskilled workers in the country what do you think happens to that 36-percent of kids of today who are unemployed? 51% of African-American kids [are unemployed],” Sanders said.

“I frankly do not believe we should be bringing in significant numbers of unskilled workers to compete with those kids,” Sanders made clear.

In addition to pointing out that Bernie is right, I would also like to point out two other facts.  One – Bernie is supporting an unpopular position because he cares about the folks most in need.  He gets the fact that it won’t be high tech jobs impacted.  Two – Bernie is supporting a position because he CARES about the people most likely to be impacted.  This is a very similar situation that conservatives find themselves in when we offer support for lower taxes, reduced government dependency programs and oppose the minimum wage.

Youth Unemployment – Unfinished Story

The Atlantic

The Atlantic had me at hello, but lost me at, “wanna dance”:

Europe’s unemployment inequality is simply astonishing. Germany’s jobless rate for young people is 8.2 percent. In Greece, it’s 54.2 percent.

Elevated and lasting unemployment is an awful thing, anywhere, and for anyone. But it is awful in a special way for young people, cutting them off from networks and starting salaries at the moment they need to forge connections and begin to cobble together a career.

A truly honest take on the impact of youth unemployment.  The first rung of the employment ladder doesn’t contain money so much as “stuff”.  Things like speaking to customers, showing up on time, meeting other people in your field and developing a work ethic that is rewarded by promotion.

Money is nice, but at age 16, 17 and 18 is largely unimportant; parents and all.

Yet we never remember this as we craft legislation, minimum wage laws anyone, that punish our youth mercilessly.  In fact, if you wanted to purposely handicap a nation, enforcing a minimum wage law that results in youth unemployment, would be near the top of the list.

But The Atlantic never goes any further than reporting on the symptom, never mentioning the cause.

So close.