George Reisman discusses Mr. Obama’s lack of basic economic understanding in his article “‘Change’ Under Obama: From Dumb to Dumber and From Bad to Worse,” on Mises.org:
In saying, “I don’t buy the argument that providing workers with collective-bargaining rights somehow weakens the economy or worsens the business environment,” President Obama confesses to not knowing that collective bargaining raises prices and causes unemployment. He confesses to not knowing that it raises costs and prices not only through the imposition of artificially high wage rates, but also in imposing on employers the use of unnecessary labor, sometimes as many as four or five workers to do the job that just one could do.
As unemployment approaches double digits, this ignorance is particularly concerning and will likely be reflected in his “Employee Free Choice Act,” which is intended to promote unionization. Read the rest of the article here, and check out National Right to Work.Published in