Eye unanimous in furchtgottroth and jared meyer argue that government policy are robbin diana furchtgottroth and jared meyer argued government redistribution policy regulation and Economic Data robbing millennial set their future. That is next on booktv. [inaudible conversations] good evening. Good evening akamai Vice President for policy research at the manhattan student is my pleasure to welcome you to discussion by her senior fellow, diana furchtgottroth and her colleague jared meyer, coauthors of the new book disinherited how washington is betraying americas young. The persistent deficits and debt of the federal government driven to a large extent by the promises of entitlement programs such as Social Security and medicare have from bid longtime head of the National Bureau of Economic Research to observe that fiscal deficits impose a burden on teachers generation borrowing only postpones the time when taxes will have to be paid. Even more pointedly, former u. S. Comptroller general david walker has spoken of the problem a generational fast present consumption and even indulge in their bribes the young of opportunity. And theyre important new book disinherited how washington is betraying americas young the Manhattan Institute diana furchtgottroth and jared meyer will elaborate on this theme. We should not be surprised by persistently high levels of unemployment among the young nor by their delay in establishing them elves as independent adult. The young today face an array of obstacles that we are creating for them. Not just been in a longestablished entitlement programs but workforce regulations, licensing requirements in a new and expanded health care and title meant that increases the cost to the government. So many young adults are as paul ryan observed in the last campaign. As taxpayers we have to be concerned about the situation. As parents we cant help but be concerned. Both jared and diana are multigenerational here to discuss the finding argument of disinherited. Train to will speak first followed by jared meyer. Diane is the former chief economist of the department of labor and chief of staff economic advisers were president george h. W. Bush. The Manhattan Institute directed the Institute Economics 21 the author of the most recent one regulating to disaster. Jerry meyer is the fellow went to 2 00 p. M. Hes a graduate of st. Johns university where he received a bachelors degree in science in finance. To discuss the new book disinherited, please welcome diana furchtgottroth and then jared meyer. [applause] ladies and gentlemen thank you so much for coming to hear us today. So much going on in new york you could have been going out to dinner and that you are coming to hear it. We are really grateful. It seems as though our policies against young people in favor of vote people in a broad variety of ways with a lot of discussion about how the have to pay off the National Debt of 18 trillion, not so much discussion about the state that which is another 5 trillion. But the disadvantages we give to young people ahead of the time before the time they are in the workforce and pay off those debts. Government policy in the field of education and when they get in the workforce and then children are asked to have Higher Health care premiums so they cannot low premiums. And we find the owner doing so well. The Unemployment Rate is about twice the amount of 25 and older with the rate declined substantially. When it comes to education we find all the teachers are given day of her over younger teachers. New york city has unqualified teachers who are being paid rather than being fired. Even though it is impossible to find unqualified teachers in elementary or secondary school. Economic studies have shown with just an average teacher at the lifetime earnings rose by 250,000. So theres a lot we have to gain by letting children have the best future they have. Then when it comes to college 70 of students have some college debt and the average debt is 27000. So thats a lot of debt and it didnt used to be like that 10 years ago, 20 years ago. The federal government subsidizing more and more college loan colleges by raising their tuition and this is just a loselose issue ration. Plus High School Guidance counselors and a fouryear college, even some of them graduating with degrees that make it difficult to find jobs. Some of them dont even graduate at all without a college education. When it comes to entering into the workforce to find a number of policies we have our bias against younger people. Its difficult to get a job when the minimum wage is 15 an hour. Today weve just heard los angeles is following and this means its practically impossible to get one of the jobs that were so common when i was growing up. Also kids who dont do that well in school cannot start at the bottom and work up. That is one reason the Unemployment Rate is close to 21st time. The minimum wage isnt the only barrier. Used to be impossible to get paid at the new yorker. [inaudible] the Labor Department decided no unpaid internships. Imagine you can get a an unpaid internship at the white house. You can get when the congress. You can get one at new york communities or an act to this group but you cant get one in your local order shut. You can get one in a Recording Studio. We told the story and we have many stories in our book as young people disadvantaged by the system. He was 20 years old and he was offered in an airship and Recording Studio and a philosophy major. A condition of the internship went to have to get College Credit because if you dont get College Credit cant have an internship. Well, he happens to go to an Ivy League School and they dont give credit. So he spent his summer on the street and working on recording his own and theres many stories like that. Theres no reason for Profit Company should give people the advantage. Then they go on to occupational license and and many stories in our book will have to get a certificate in order to do african hair braids. She wanted to open her own salon you can get plenty of chemicals. While the law changed in mississippi and she was able to do that unqualified. There isnt any reason you shouldnt feel to start your own tree trimming business or computer to knowledge he does this. All of those are forbidden in some states. After the kids have gone through school and they cant get a job in the workforce, we then expect them to pay Higher Health insurance premiums. The Affordable Care at rules the premiums are three to one. You can have more than three times the premium of the young person. We told the story of tommy rhodes and the d. C. Health Care Exchange and he just about doubled and spent months trying to get enrolled. It is just not fair to people that they should pay Higher Health care for people like me can pay lower premiums because the difference between the wealth of the young person and an older person is 50 to one because thanks to the Federal Reserve it is gone. People with pensions has seen the value in trees. They have assets will tie up. So it doesnt any sense at all. But we are calling for and im not going to say it because jarrett is a real millennial and he knows what the solution is. [applause] theres a lot of talk. Both sides of the aisle talk about how young people need some sort of change. Dynamic use of numbers. The year and a half ago in a Rolling Stone article Jesse Myerson laid out his vision which is kind of been embraced by people on the left. But heres what he wanted to do. He wanted to make everything free everything publicly owned have a guaranteed job if you want one. He said thats the way to help. Diana and i wanted to write a book to provide another way that shows young people mistreated and what they have right now is because of government policy. They still have the general theme of protecting older interest in keeping young people out. We all know young people dont vote or care about politics but unfortunately politicians dont ignore it and they constantly pass the bills come at things like increased pensions for government workers come and spend their money on Social Security and medicare and push other regulations that would immediate benefit on interest but then say will pump the cost of people who can vote yes or arent even born. These are major changes for millennial once they start paying taxes. Im just talking about the 18 trillion that would increase our taxes by 57 or cut all Government Services by 37 excluding the interest on our debt. That means young people are getting less service is for paying a lot more to bring the unfunded cost to reality itself. One thing we do see his young peoples attitudes have changed. The last six years have left a bitter taste in young peoples mouths. Work enthusiastically towards president obama by two thirds of millennial see it as an efficient and wasteful. If we look at regulations, only 16 and regulation benefits the public. They see the ridesharing and regulations are protecting established businesses and they see no reason that they run out their apartments by they shouldnt be allowed to do that. That is why we have a specific chapter and occupational licensing. This isnt just hotels. All across the economy we see concentrated interest putting together. In the 1950s one 20 American Workers needed a government permissions but to start working. Now one in three has expanded drastically. People talk about minimum wage and we see nothing as much as occupational licenses. Moving onto the way to get out of the problem is not doing more government programs. Rather tear back to regulatory statement. The numbers are daunting on what we do to wreck the federal budget if we take into account Social Security and medicare. America is now 220 in debt. I can picture what 200 trillion would look like. He told us my generation has grown up and never known anything else. We need to grow the economy and go to federal regulations. This isnt just pages and pages of legal jargon. They put real burdens on businesses. I dont know how i could possibly read a million regulations much less remember all of that. When we look at pension. Which is now 5,000,000,000001st day, we need to take away governments ability to put pressure so they think twice before promising benefit. Everyone wants to get a higher return on pension. Eventually the bill will come to people who never wanted these programs come and never voted for them. So weve seen a lot of pushback against the Affordable Care act. The idea of extending insurance is something we all want. Access to Quality Health care. They set up the law in ways that makes young people pay for it. If we look at the advertising to sell the law was almost embarrassing talking about insurance and people doing keg stands. If it was that great of a deal, why do you need a push. As weve seen a lot of young people are signing up and they realize its been placed which i should point out people under 30 spent 600 a year on average health care. If the average premium pushing 3000 now with a 90 increase for 27yearold males. We could see reforms in the health care side. We need to grow our way out of the current budget situation. But what can we do about education . When we look at primary education this is where i am most told well. Everything from Charter Schools and vouchers to personalize learning that we realize not every american student is the same so we start to move to an individual or systemic is paired students greater control. That is something where we can write our education system. With Hillary Clinton with her staffers talking about making college debt and Bernie Sanders making college completely free. How can we respond to this . The way i see it if they put a bandaid on the problem. The real issue is College Tuition has been increasing drastically since the late 1970s and this is driven by the current loan program. The government writes a blank check to colleges. We will increase and have more money coming to you. When you select it away with the same month applies to everyone. Its going to college the best decision for me . High School Guidance counselors think its the right decision for everyone. But when you come out with this diet is not going to better education. This is something we need to think long and hard about and create a system that theyve to investment in education. We just sent everyone to college and we would have a huge and vast and. That would be one thing if it were true but its not. Over 80 of College Graduates are unemployed and thats double the rate at the end of the clinton administration. A staggering 44 in the unemployment statistics. They didnt need to go to school and go 27,000 in debt to get them. We have some ideas for how we can help the economy and move it forward, but the main thing we need to do is evaluate to affect the youngest americans. How does make in this without paying for it for future generations. We hope writing the book that we could bring this into the space in young people are extremely energetic. People say they are apathetic but look at the current push for fossil fuels in college. We can get young people that have the same passion they have for how theyre treated by washington. We would start to see real change. Thank you. [applause] [inaudible] let me start with the couple. Lets talk about government appropriations. [inaudible] you have to look at the role of government visavis the private sector and very few investment governor can make that the private sector would not be vast. The National Defense and perhaps in basic Scientific Research the individual companies dont have the resources or the incentives to do that because they get used by other companies. I would say that is the role of the government in terms of investment. Another investment the government could make is rolling back some of the regulation. Politicians can make an investment in Social Security by gradually raising the retirement age and changing the indexing to Social Security benefits and the economy to price indexing and security benefits and the economy. Paying for programs that wont even be there when they retire. May balance out the American Association [inaudible] [applause] let me follow up with you. How to process a program for a younger person like Social Security. Having this government acts as would be relieved of the burden of caring for elderly parents. You wont have to worry about their pensions because of Social Security. One thing im not being relieved of his pay in higher taxes. If they continue in 2050 young people will be paying 30 of their paychecks on Social Security and medicare. That is not possible. Theres no way the government can take 30 for entitlement ignoring other federal taxes. Its not really working out too well for them. Youth unemployment pushing 50 in places like spain and youth unemployment in portugal, italy. We are taking a third of young peoples hardearned money just to support the system theyre never going to get a cent. Young woman in the purple bear. [inaudible] [laughter] thank you. Thank you for your talk. Thank you especially the Higher Education and ethics. Along those lines specifically a good balance between having a lower minimum wage and also going to college because first i won wonder we talk about the minimum wage to what extent you address a lot of the literature assessed by the unemployment. It is significant in that direction. You talked about the methods or anything like that. Also the argument about minimum wage in the direction and competitive markets. Most of all the workers tend to have more market power. I just wonder if its not minimum wage and we are talking about everyone not going to college, how do you assure when young people grow to be middleaged that they are able to through the market sector provide the minimum wage. Well 97 of working americans about minimum wage have their employers pay in order to retain. If you are offered the gnome wage job he was a thanks but no thanks. That is why the minimum wage the effects on the minimum wage have found its not that significant to that many people. Another reason is ive written about them and share that with you afterwards. The important and if you suggest the average wage economy which right now is 25 an hour. Thats ridiculous. A lot of people wont have jobs. Some people wont have jobs in los angeles when his 15 an hour. It is really unamerican to say you have skills under 16 an hour for under 10 an hour. We will not allow you to work in the united state. The minimum wage goes up in employers have to pay more. They will hire 15 an hour and the 725 an hour will move up the career ladder. And i would add to that when we look at the minimum wage in particular i dont see how it makes any sense to apply a onesizefitsall rate. Sure maybe wealthy suburbs in seattle. But if you bring this to rural alabama are somewhere in oklahoma and look at the statistics, and they look and calculate the average rates. You can see a lot of state are earning under the proposed 10. 10 minimum wage. So billy does not make sense in young people are going to be across the board especi