Gavin Newsom Wants an AI New Deal

The California Governor is tilting toward an even larger entitlement state

WSJ editorial. Excerpts:

"He suggested imitating Europe’s generous wage replacement programs and job protections. Perhaps he has missed Britain’s debate, notably of late even in the Labour Party, over why a million young men and women have left the workforce while on the government dole."

"If the government makes it hard for businesses to lay off workers, they will be more reluctant to add other jobs and hire young people with less experience. That’s why the youth unemployment rate in France is upward of 20%."

"if workers can make nearly as much unemployed as they do working, many will stay home. That was one lesson from the pandemic when Congress juiced unemployment benefits and transfer payments."

"The top marginal tax rate in California on wage income over $72,725 (including a disability payroll tax) is 10.6%."

"state’s $20-an-hour minimum wage for fast-food workers"

"California is tied with Nevada and Delaware for the nation’s highest unemployment rate (5.3%), followed by Oregon and Washington (5.2%), Illinois (5.1%), Connecticut and Michigan (5%). You don’t need AI to discern what they have in common. With the exception of Nevada, the states are run by Democrats heavily influenced by public unions."