Just a quick note so somebody check my math and/or let me know if I'm as guilty as the right in misreading the reports. In the last couple weeks two CBO reports have come out. The first, on the ACA's effect on the supply of FTE's (full-time equivalent workers). The second, on the effect of a raise in the minimum wage on the demand for FTE's.
Part One: CBO's opinion is that the ACA will allow 2.5 million FTE's to choose not to work. In essence a reduction in the supply of labor by 2.5M. We all remember the disingenuous republican spin on this report. Their claim that the ACA will lead to 2.5M layoffs was one more in a line of responses to issues that prove they are lying, stupid or both.
Part Two: CBO's opinion is that raising the minimum wage to $10.10 may have the effect of reducing the demand for FTE's by up to 1 million FTE's.
Is it me, or when you add part on and part two, does all of this result in a surplus demand for 1.5 million FTE's?