The Europeans have crafted a regulatory environment in their labor market that grants all kinds of protections and gauranteed benefits at the expense of new or unskilled workers trying to join the workforce. We are doing the same thing:
This year, it's harder than ever for teens to find a summer job. Researchers at Northeastern University
described summer 2007 as "the worst in post-World War II history" for
teen summer employment, and those same researchers say that 2008 is
poised to be "even worse."
According to their data, only about
one-third of Americans 16 to 19 years old will have a job this summer,
and vulnerable low-income and minority teens are going to fare even
The percentage of teens classified as "unemployed""”those
who are actively seeking a job but can't get one"”is more than three
times higher than the national unemployment rate, according to the most
recent Department of Labor statistics.
One of the prime reasons
for this drastic employment drought is the mandated wage hikes that
policymakers have forced down the throats of local businesses. Economic
research has shown time and again that increasing the minimum wage
destroys jobs for low-skilled workers while doing little to address
According to economist David Neumark of the University of California at Irvine,
for every 10 percent increase in the minimum wage, employment for high
school dropouts and young black adults and teenagers falls by 8.5
percent. In the past 11 months alone, the United States' minimum wage has increased by more than twice that amount.