The Minimum Wage and McDonald's Welfare

Net total public assistance to the fast-food industry is about $7 billion dollars. (This does not include future medical costs associated with diabetes or heart disease).

Last month, we discussed McDonald's and Wal-Mart as America's biggest welfare queens. As it turns out, both giants are the beneficiaries of a surprising amount of federal aid: Their employees receive an inordinate amount of Medicaid, food stamps and other public assistance. This allows them to maintain very low wages, and keep profits relatively robust.

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