Silver as an investment

Category Archives: Income distribution

America’s Extreme Social Fragmentation Exposed In 3 Simple Charts

Via MauldinEconomics.com, Analysts have been conducting studies since 1994, trying to discern political polarization. These three charts look at the years 1994, 2004, and 2017. Even as late as 2004, notice the broad crossover between the median Democrat and median Republican. And then notice how wide the divide is today. Not only are the median […]

San Franciscans Pissed To Learn Their Liberal Policies Caused A Wave Of Restaurant Failures

In a note that we’ll file away under the definition of ‘irony’, Bloomberg wrote today that the fun-loving, free-spirited socialists of San Francisco are suddenly really pissed off that their liberal economic policies have resulted in a wave of restaurant failures, making it nearly impossible to find good food at an ‘affordable’ price.  We would […]

Study Finds Higher Min. Wages Bring Crushing Job Losses For Female And Minority Workers

Anyone who has a basic understanding of elementary-level arithmetic and some common sense can easily explain why raising the minimum wage is bad for employment levels.  In a nutshell, higher labor costs simply improve the payback profile of capital investments in technology thus accelerating job losses. We recently shared the following example regarding California’s minimum […]

Missouri Legislature Reverses St. Louis Minimum-Wage Hike

A week ago, we reported on a study from the University of Washington that exposed how the city of Seattle’s progressive minimum wage increases, which began in 2015, are – contrary to the hopes of misguided liberals – actually crushing the city’s poor. Specifically, the study found that higher minimum wages caused a 9.4% reduction […]

“Fake Research”: Seattle Mayor Knew Critical Min. Wage Study Was Coming, So He Called Berkeley ‘Economists’

Earlier this week we wrote about a study published by the University of Washington which was fairly damning for Seattle’s $15 minimum wage.  To our total ‘shock’, the study found that higher minimum wages caused a 9.4% reduction to total hours worked by low-skilled workers, or roughly 14 million hours per year.  Given that a […]

Albert Edwards: “What On Earth Is Going On With US Wages”

When Albert Edwards predicted in late 2016 that a surge in wage inflation was imminent, we were confused by this prediction from the world’s preeminent deflationist: after all, not only had not a single economic indicator validated a tighter labor market despite unemployment just above 4%, but as we have have repeatedly demonstrated what little […]

Shake Shack Confirms Worst ‘Minimum-Wage-Hike’ Fears – “It’s Going Up Too Fast… We Can’t Catch Our Breath”

As we detailed earlier, Shake-Shack shares crashed to record lows after the fast-food restaurant as increased labor costs (thanks to Obama's minimum-wage-hikes) crushed margins and caused menu price hikes that slowed demand… Shack-level operating profit margins decreased 300 basis points to 25.2%, primarily due to increased labor and related expenses resulting from increases in hourly […]

Visualizing The Collapse Of The Middle Class In 20 Major U.S. Cities

When future historians look back at the beginning of the 21st century, they’ll note that we grappled with many big issues. They’ll write about the battle between nationalism and globalism, soaring global debt, a dysfunctional healthcare system, societal concerns around automation and AI, and pushback on immigration. They will also note the growing number of […]

St. Louis Just Hiked Minimum Wage By 43%; Guess What Happens Next

Seemingly no amount of empirical evidence will ever convince progressives that raising minimum wages to artificially elevated levels is a bad idea.  Somehow the basic idea that raising the cost of a good ultimately results in lower consumption of that good just doesn’t compute.  And while roughly 50% of the country will promptly ignore it, […]

Perfect Example Of Why Job Losses From Minimum-Wage-Hikes Are Being Underestimated, ‘Bigly’

Over the past several months, we’ve highlighted a number of economic studies analyzing the potential negative impact, in terms of job losses, that may be expected to result from the state-mandated minimum wage hikes that are currently being implemented around the country. One such study came from the American Action Forum (AAF) and estimated that […]