The Ottumwa Courier

AP National

February 19, 2014

Minimum wage report puts Democrats on defensive

WASHINGTON (AP) — A report by Congress' nonpartisan budget analysts seems to have thrown Democrats onto the defensive after it concluded that the party's drive to boost the federal minimum wage could cost a half-million jobs by 2016.

A Congressional Budget Office report released Tuesday concluded that a gradual increase to $10.10 hourly by that year — which is what President Barack Obama and congressional Democrats are seeking — would increase pay for more than 16.5 million people, mostly those earning low wages. It also would lift 900,000 people over the federal poverty threshold, the study said.

Democrats hailed those findings. But in a congressional election year in which the slow-recovering economy remains a paramount issue, Democrats from the White House to Capitol Hill contested another of the report's conclusions: that the increase would reduce jobs in 2016 by roughly 500,000, or 0.3 percent.

That figure was the midpoint of a range of job losses the budget office estimated at somewhere from negligible to 1 million eliminated positions. And it was an unpleasant number for Democrats, who plan to make their long-shot effort to raise the minimum wage this campaign year a centerpiece of their focus on correcting income inequity between haves and have-nots.

Jason Furman, chairman of the White House's Council of Economic Advisers, and council member Betsey Stevenson referred in a blog post to a statement by more than 600 economists who cited recent academic findings that "increases in the minimum wage have had little or no negative effect on the employment of minimum-wage workers, even during times of weakness in the labor market."

"There's some respectful disagreement on the emphasis and certainty around that magnitude of employment loss," Furman told reporters of the CBO estimates. He added, "Zero is a perfectly reasonable estimate of the impact of the minimum wage on employment" based on research by other economists.

Text Only
AP National
  • Obama voices skepticism on Russia in Ukraine WASHINGTON (AP) — President Barack Obama conveyed skepticism Thursday about Russian promises to de-escalate a volatile situation in Ukraine, and said the United State and its allies are ready to impose fresh sanctions if Moscow doesn't make good on i

    April 18, 2014

  • Late sign-ups improve outlook for Obama health law WASHINGTON (AP) — A surge of eleventh-hour enrollments has improved the outlook for President Barack Obama's health care law, with more people signing up overall and a much-needed spark of interest among young adults. Nonetheless, Obama's announcemen

    April 18, 2014

  • Cyber cops: Target hackers may take years to find WASHINGTON (AP) — Secret Service investigators say they are close to gaining a full understanding of the methods hackers used to breach Target's computer systems last December. But the agency says it could take years to identify the criminals who sto

    April 18, 2014

  • 10 Things to Know for Today Your daily look at late-breaking news, upcoming events and the stories that will be talked about today: 1. UKRAINIAN MILITIA DENIES CALLS TO FREE BUILDINGS Pro-Russian insurgents in the east who have been occupying government buildings say they will

    April 18, 2014

  • White House updating online privacy policy WASHINGTON (AP) — A new Obama administration privacy policy released Friday explains how the government will gather the user data of online visitors to WhiteHouse.gov, mobile apps and social media sites, and it clarifies that online comments, whether

    April 18, 2014

  • A year after background check defeat, modest goals WASHINGTON (AP) — Democratic worries about this November's elections, a lack of Senate votes and House opposition are forcing congressional gun-control supporters to significantly winnow their 2014 agenda, a year after lawmakers scuttled President Ba

    April 16, 2014

  • Court to weigh challenge to ban on campaign lies WASHINGTON (AP) — Negative campaigning and mudslinging may be a fact of life in American politics, but can false accusations made in the heat of an election be punished as a crime? That debate makes its way to the Supreme Court next week as the justi

    April 16, 2014

  • College Board provides a glimpse of new SAT WASHINGTON (AP) — Anxious students — not to mention their parents — can get a heads-up for how the redesigned SAT might look in two years. Sample questions for the new version of the college-entrance test were released on Wednesday by the College Boa

    April 16, 2014

  • End of NYPD Muslim surveillance program applauded NEW YORK (AP) — Muslim groups and civil liberties advocates applauded the decision by New York Police Department officials to disband a controversial unit that tracked the daily lives of Muslims as part of efforts to detect terrorism threats, but the

    April 16, 2014

  • 10 Things to Know for Today Your daily look at late-breaking news, upcoming events and the stories that will be talked about today: 1. NEARLY 300 PEOPLE ARE MISSING AFTER KOREAN BOAT SINKS The accident involving a ferry that was headed to a tourist island killed three passenger

    April 16, 2014

Obituaries
Record
Facebook
AP National