For Immediate Release

Organization Profile: 

CBO Analysis of Raise the Wage Act is "Overwhelmingly Positive"

"The facts are undeniable. Raising the minimum wage is good for workers, it's good for the economy, and it's good for the country as a whole."

WASHINGTON - This morning, the Congressional Budget Office released a report on the budgetary effects of the Raise the Wage Act, legislation that would raise the federal minimum wage to $15 an hour by 2025.

In response, Morris Pearl, the Chair of the Patriotic Millionaires, former managing director of BlackRock, Inc., and author of the upcoming book Tax the Rich, issued the following statement:

"Today's CBO report reinforces what we already know: raising the minimum wage is good policy. This report shows that raising the minimum wage to $15 an hour would give 27 million workers a raise, increase their income by $333 billion over ten years, lift 1 million Americans out of poverty, drive wages up for 10 million Americans already earning more than $15 an hour, and significantly reduce government spending on SNAP, the child tax credit, and the earned income tax credit. Raising the minimum wage will significantly impact both federal spending and revenue, which qualifies it for budget reconciliation. 


We must raise $75,000 during our Winter Campaign. Can you help?

The 1% own and operate the corporate media. They are doing everything they can to defend the status quo, squash dissent and protect the wealthy and the powerful. The Common Dreams media model is different. We cover the news that matters to the 99%. Our mission? To inform. To inspire. To ignite change for the common good.

The facts are undeniable. Raising the minimum wage is good for workers, it's good for the economy, and it's good for the country as a whole. There's no argument otherwise.

Opponents of raising the minimum wage will attempt to twist this report for their own misguided purposes, but even with a deeply flawed methodology that ignores the modern economic consensus on this issue, the CBO's worst case scenario is still overwhelmingly positive. 

  • The CBO's ridiculous estimate of 1.4 million jobs lost (which contradicts the vast majority of research that shows raising the minimum wage has little to no negative effect on employment) still indicates that as a whole, low-wage workers end up better off with a higher minimum wage when considering total wage distribution. 
  • The report's estimate of a $54 billion addition to the federal deficit over ten years (which contradicts research showing that raising the minimum wage would save the government tens of billions of dollars a year) ends up amounting to $5.4 billion per year, or less than one sixth of one percent of the annual federal budget, a negligible amount. Much of this increased spending would come from paying Medicaid care workers -- who are often paid egregiously-low wages for extremely important services -- a fair wage. That would be a good thing."

This is the world we live in. This is the world we cover.

Because of people like you, another world is possible. There are many battles to be won, but we will battle them together—all of us. Common Dreams is not your normal news site. We don't survive on clicks. We don't want advertising dollars. We want the world to be a better place. But we can't do it alone. It doesn't work that way. We need you. If you can help today—because every gift of every size matters—please do. Without Your Support We Simply Don't Exist.

Please select a donation method:

Proud “traitors to their class,” members of the Patriotic Millionaires are high-net worth Americans, business leaders, and investors who are united in their concern about the destabilizing concentration of wealth and power in America. The mission of The Patriotic Millionaires organization is to build a more stable, prosperous, and inclusive nation by promoting public policies based on the “first principles” of equal political representation, a guaranteed living wage for all working citizens, and a fair tax system.

Share This Article