On Monday, California governor Jerry Brown signed a bill that will incrementally increase the state’s minimum wage to $15/hour by 2022. Both Democratic presidential contenders indicated their support for this measure:

But did Governor Brown accidentally show his hand during his remarks on why this law was really passed?

See if you can catch it:


“Economically, minimum wages may not make sense. But morally, socially, and politically they make every sense…”

Intentionally or not, Jerry Brown just told us something we already know: that high minimum wages make bad policy by forcing price increases and pricing low-skilled workers out of the labor market.

A survey of LA County businesses confirms these negative effects, and that doesn’t even begin to touch on the impact for less urban ares, which will have an even harder time complying with $15/hour.

California should have heeded the warning signs from Seattle, where the $15 minimum wage is now taking its toll:

Democrats are either still failing to understand the economic implications, or don’t care.

And if you still aren’t convinced that high minimum wages have exactly the opposite effect they’re supposed to, I recommend this simple but educational video by George Mason professor Don Boudreaux on why this is: