Seattle’s ‘Tax-the-Rich’ Measure Spurs Freedom Foundation Lawsuit

By Rob Williams – Re-Blogged From Newsmax

The Freedom Foundation, a conservative think tank, sued Seattle after its city council passed a measure in July that would place a 2.25 percent income tax on wealthier residents.

The tax was estimated to affect the 9,000, or 2 percent, of the city’s taxpayers – people who make more than $250,000, or $500,000 for couples filing jointly.

The lawsuit, filed on behalf of 19 Seattle citizens, alleges the proposed tax violates the state constitution and restrictions on cities to impose income taxes, The Wall Street Journal reported. Another group called the Opportunity for All Coalition, founded by Seattle venture capitalist Matt McIlwain, filed a lawsuit the same day, the newspaper said.

Image: WSJ: Seattle's 'Tax-the-Rich' Measure Spurs Freedom Foundation Lawsuit
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Continue To Beware The Job Numbers (Is it The Bureau Of Labor Statistics Or Bureau of Lying Statistics?)

By David Haggith – Re-Blogged From http://www.Silver-Phoenix500.com

Applebee’s Franchise Owner Forced To Cut 1,000 Jobs After New York’s Minimum Wage Hike

By Andrew Kerr – Re-Blogged From Western Journalism

The CEO of Apple-Metro Inc., a company that operates about 40 Applebee’s restaurants in the New York metropolitan area, said he’s been forced to cut at at least 1,000 servers in the past year as a result of New York’s recent minimum wage hike.

“We have 1,000 less servers this time this year than we did this time last year,” Zane Tankel told Fox Business’ Stuart Varney on Monday.

That amounts a two-thirds reduction of his total workforce, Tankel said. Continue reading

Minimum Wage Hurts More Than it Helps

By Jeremy Frankel – Re-Blogged From iPatriot

There has been much discussion and debate over whether to raise the minimum wage, and this debate is still going strong.

The positions range from minimum wage advocates who are part of the #FightFor15 movement, claiming that everyone should make enough money to live on; to opponents of a minimum wage, who believe that minimum wages are counterproductive to both employees and businesses, in the sense that anyone whose work isn’t worth the minimum wage wouldn’t be hired, or that the business cannot afford the minimum wage and therefore, no one has a wage at all, since the business cannot operate.

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Harvard Study Shows Minimum Wage Increases Kill Businesses

By Keely Sharp – Re-Blogged From Eagle Rising

While there are McDonald fry cooks out protesting for $15 an hour to flip burgers and almost always get our orders wrong, some of us can actually see the harm in minimum wage hikes.

When wages are increased, then a business must then charge more for their product in order to cover the costs, due to inflation. For example, you may go from $7.25 an hour to $15 an hour, but now a gallon of milk jumps from $4 to $8. So you aren’t really able to afford anything more than you were in the first place, and it hurts the businesses.

A new Harvard Business School study found that minimum wage hikes lead to closures of small businesses. “We find suggestive evidence that an increase in the minimum wage leads to an overall increase in the rate of exit,” the researchers conclude.

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What Creates and Sustains Jobs?

By Dale Netherton – Re-Blogged From iPatriot

The politicians mutter the word “jobs” as if they understood where jobs come from and what conditions are necessary to sustain jobs.

First, without revenue to pay wages no job can exist or if created continue to exist.  The question then becomes, where will the revenue come from?  There are two sources of revenue for jobs.  One is the direct granting of revenue by the government which funds government jobs.  If there is funding available the job can continue until the funding disappears.  The other source of revenue is profit.  If a job is created to supply a good or service and it is sustained by paying for itself, this job is sustainable as long as it is competitive.  This is the only job that can exist that doesn’t rely on confiscation and redistribution.  Jobs that rely on “government funding” are not self sustaining since they must have confiscation and redistribution.  Government cannot create wealth, it has nothing it doesn’t confiscate or borrow.

All government created jobs are necessarily temporary.  Debt and eventual inflation destroys the foundation for government funding of jobs as the private sector that supports sustainable jobs shrinks under the regulation and taxes that eventually destroys the profit motive and therefore the only source of self sustaining jobs.  The CCC camps could not have been retained as permanent jobs.  The demise of the Post Office and Amtrak are examples of where government “jobs” must eventually falter.  The source of these two government jobs comes from the government subsidies.  Neither is self sustaining based on the income they generate.  This means a private sector is being taxed and the confiscation of their earnings is being channeled to the subsidy the government is supplying.

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