[Morrigoon]

Oh, there's more than that to it...

Unions, as you say, are filled usually with skilled workers who make more than minimum wage. But skilled workers are generally understood to be able to do the work of several unskilled workers. So there's a cost-benefit analysis that goes on for companies deciding whether they should go with a handful of skilled workers or a larger number of unskilled workers. When the cost of the unskilled goes up, it makes the skilled workers look like a better deal.

My concern is that the Fed already has a lot of inflationary concerns to deal with right now, and congress clearly doesn't give a ****. If Bernanke decides that the increase is going to lead to inflationary issues, he will have to raise interest rates to compensate, which at this point will plunge the economy into a full on recession. That's why the Fed has held still for the last several meetings. They don't want to lower rates because they're still concerned about and watching inflation, but they know if they raise rates even a little bit right now, it'll deal a disastrous blow to an already cooling market.

And on an unrelated side note... Disneyland's wages get even closer to minimum wage....