December 28, 2010

MICKEY KAUS: Obama And Income Inequality: No New Brazils! “The question is then what makes Brazil Brazil. Is it wild riches at the top, or extreme poverty at the bottom? It seems pretty obvious. . . . The solution is tight labor markets. Get employers bidding for scarce workers and you’ll see incomes rise across the board without the need for government aid programs or tax redistribution. A major enemy of tight labor markets at the bottom is also fairly clear: unchecked immigration by undocumented low-skilled workers. It’s hard for a day laborer to command $18 an hour in the market if there are illegals hanging out on the corner willing to work for $7. Even experts who claim illlegal immigration is good for Americans overall admit that it’s not good for Americans at the bottom. In other words, it’s not good for income equality. Odd, then that Obama, in his ‘war on inequality,’ hasn’t made a big effort to prevent illegal immigration–or at least to prevent illegal immigration from returning with renewed force should the economy recover.”

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