Category Archive: Government’s War on the Poor

Aug 09

Venezuelan minimum wage was raised 108,000 % in 20 years, yet today, “Anyone in Venezuela would be happy to eat out of American trashcans”

Venezuelan economist Raefael Acevedo recently addressed the Mises Institute. See here. Between 1999 and 2017, said Acevedo, the Venezuelan minimum wage was raised 38 times: a 108,000 % increase. Yet “[a]nyone in Venezuela would be happy to eat out of American trashcans.”

Jul 26

Government’s War on the Poor: More than 1/3 of Households have No Savings

Government policies punish savers so much that it is utterly foolish to save even a penny. Near-zero interest rates. “Social Security” payroll taxes. Medicare and Medicaid. Obamacare. Market-entry barriers such as occupational licensing laws. Government policies incentivize Americans to work less, build less, create less, save less, be unhealthy, sick and weak. “Nearly 20 million …

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Jul 09

IRS accused Texas bridal shop of “structuring” deposits under $10,000. When the owners resisted, the IRS shuttered the store, seized all inventory and “auctioned” it off for pennies on the dollar

Astounding story of a small bridal shop in a suburb of Dallas. See here. It seems that the IRS accused the shop’s owners– Tony Thangsongcharoen, 68, and his wife, Somnuek Thangsongcharoen, 72–of “structuring”: making bank deposits just under $10,000 to avoid federal “reporting requirements.” The IRS shut down the small business and quickly held an …

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Jul 05

Seattle’s experiment with the $15 minimum wage results in greater poverty, unemployment

Three years ago, the city of Seattle voted to raise its minimum wage to $15 per hour. As usual, government-trusters promised that the minimum-wage increase would lift the poor out of poverty. But a new study by the University of Washington’s School of Public Policy and Governance finds the opposite. The study concludes that there …

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Jun 20

24 % of Americans Do Not Have a Single Dollar Saved for Emergencies

Study upon study shows that the American people are increasingly saving little or nothing in response to government policies. If you save anything in modern America, you are an utter fool. Near-zero interest rates, Social Security and Medicare incentivize Americans to save nothing. “About 1 in 4 literally have no emergency savings. A survey released …

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Jun 09

Idaho government continues to ban unlicensed makeup artists

Governments everywhere demand that people get government licenses before engaging in certain businesses. Most States require that those who cut hair, perform manicures or help others with makeup must first go through hundreds of hours of government-approved ‘training’ before doing so. Such licensing laws keep poor people down by preventing them from starting businesses or …

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Jun 02

Almost half of Americans die broke in response to government policies

Years of government policies which punish saving, investing and working have taken their toll. USA Today reports that 69% of adults have less than $1,000 in the bank, and 34% said they actually don’t have any savings at all. And a study by the National Bureau of Economic Research found that almost half of Americans …

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Apr 16

San Diego spikes minimum wage; 4,000 restaurant jobs lost almost immediately

When the price of any commodity rises, demand falls. This iron law of economics applies even to labor. Advocates of minimum wage laws (which allow government rather than the market to set wages) believe in a fantasy: that when politicians order wages to increase they are helping poor people. The reality is precisely the opposite. …

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Apr 09

Government is the biggest burglar of all: “asset forfeiture” actions in 2014 took more money than all (nongovernment) burglaries combined

While Americans slept, government has been drastically increasing its numbers of “asset forfeitures” against innocent Americans (who are not charged with any offense). U.S. attorneys seized an estimated $12.6 billion between 1989 and 2010. And the numbers grew rapidly over that period. The growth rate during that time averaged +19.4% annually. Analysis by Armstrong Economics …

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Mar 27

Government causes poverty: Massive welfare spending in San Antonio makes people less educated, more desperate

For the past 5 years, the federal government has poured $54 million in government aid into an impoverished neighborhood in San Antonio, Texas. The welfare program has apparently may have set the tiny, 3.5 square mile neighborhood back. The San Antonio Express reports more high school graduates (79.4%) require remedial courses to enter college today …

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