Those with a basic understanding of economics knew this was coming.
And yet, somehow, big-government politicians in the Biden administration failed to predict that encouraging corporations to raise their minimum wages was going to result in consumer prices rising: a lose-lose situation.
For many of us, this is a simple economic concept: when wages rise for positions that are typically minimum-wage, the price of common goods will also rise to compensate for the rise in employee costs.
McDonald’s is the latest company to announce an increase in menu items. Wages at McDonald’s across the country have risen at least 10 percent this year with the cost of food and paper products also up due to supply inconsistencies. To help cover these costs, the company has said consumer prices are expected to rise about six percent compared to last year.
The same goes for many other corporations, including Chipotle, Coca-Cola, Del Taco, Chili’s, FedEx and Disney, where it may now cost an arm and a leg to experience the Happiest Place on Earth. In their tier system, some prices have jumped $10 for a day pass and up as much as $25 for multi-day passes. Even parking at Disney hotels has risen $15.
So, while employees can feel good about a rising wage, nearly every sector is making quiet increases in consumer prices.
For some reason, after 78 years on earth and over 40 years in government, President Joe Biden still wasn't able to predict the economics of rising wages, and he still has no solution for the rapid inflation occurring across the country.
This is a result of government intervention in areas where there is no need for involvement. Free markets allow both the consumer and the producer to negotiate on a fair price through capitalism. When the government artificially reduces the labor market or restricts the supply of goods, everyday Americans always--always--pay the price.
At the end of the day, the federal government will never be able to solve our problems. We must rely on our own hard work and self-governance to be successful, something the D.C. "elite" will never understand.
Fortunately, We the People have Article V. Using Article V of the Constitution, we can call for a Convention of States and limit the federal government's overreaching powers. We can return the federal government to being of, by, and for the people, and we can prohibit politicians like Biden from meddling in the economy.
Sign the petition below to get involved!
