The members of the Chicago city council Democrat “machine” might have ended their support for minimum wage increases because they had enrolled en masse in price theory classes at the University of Chicago. But they did not–they likely still are not able to distinguish a supply curve from a demand curve. But apparently a sufficient number of them are able to open their eyes and admit their mistake when their constituents suffer the negative job consequences of an increasing minimum wage.
(p. A15) Chicago’s distressed dining scene—recently described as “on the brink of collapse”—was bolstered by good news last week, as the City Council voted to halt future increases in the minimum wage for servers and bartenders.
. . .
In the first year after the mayor’s minimum wage hike, new restaurant and tavern licenses—a key indicator of industry health—dropped by more than 8%. The Illinois Restaurant Association reported that nearly 500 restaurants closed in the first half of 2025, and 70% of the restaurants that responded to the association’s poll reported cutting staff or reducing employee hours since the wage hike took effect.
. . . Alderwoman Samantha Nugent, who introduced a proposal to stop further increases in the wage, said her constituents were suffering from the mayor’s good intentions: “I’ve had several restaurants close down,” she said. “I’ve heard from servers, when the tip credit changed in Chicago, their hours were cut.”
For the full commentary, see:
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(Note: the online version of the commentary has the date March 22, 2026, and has the same title as the print title.)