Thursday, December 28, 2023

This Is How Liberals Help The Working Class

"California Pizza Hut Franchises Lay Off Over 1,200 Delivery Drivers Due to State Raising the Minimum Wage"--Legal Insurrection.  They raised the minimum wage to $20/hour. "Customers will now have to use third-party apps like DoorDash to deliver their pizza."

    Three points come to mind about this:

    First, anybody with half a brain understands how the supply/demand curve works, so the reasonable conclusion is that California legislators understood that a bunch of people would lose their jobs because of the change in the law and did it anyway.

    Second, to the extent that this was driven by concerns about the cost of living in California, the cause of the high cost of living is mostly the result of other policies championed by the left, namely high immigration (legal and illegal) driving up the cost of housing and everything else combined with a stifling regulatory and tax environment.

    Third, this appears to be part and parcel of the continued war against small businesses, who are the most likely to be affected by this change in the law. Yes, many of the fired pizza delivery drivers will be forced into offering services for applications like DoorDash (and, therefore, probably not realize any real financial boost from the law) but it will enrich large companies like DoorDash.

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