A number of economists from the White House and beyond have criticized a CBO report on the effects of potentially boosting the minimum wage to $10.10 an hour. But CBO Director Douglas Elmendorf isn’t backing off.
Congressional Budget Office Director Douglas Elmendorf defended a controversial report on the minimum wage Wednesday, amplifying a debate that could affect prospects for one of President Obama’s major legislative goals.The CBO report said that boosting the minimum wage to $10.10 an hour, as Mr. Obama wants to do, would probably cost jobs – with employment falling by an estimated 500,000 workers.
A number of economists from the White House and beyond criticized the estimate, saying the best research suggests job losses could be negligible, even zero.
Mr. Elmendorf isn’t backing off, however, on the notion that asking employers to pay more for labor will probably mean less hiring.
The CBO analysis is “completely consistent with the latest thinking in the economics profession,” he told reporters at a breakfast organized by The Christian Science Monitor.
Elmendorf said his agency is just doing its job of being a straight shooter on issues that are charged with strong partisan feelings – among economists as well as the general public.
Chosen excerpts by Job Market Monitor. Read the whole story at CBO Director Defends Position: Minimum Wage Hike Would Cost 500,000 Jobs » Vicksburg Daily News.