Obamacare Will Drive Up The Cost Of Living Dramatically

Papa-Johns-Pizza_logo

At Slate, Matthew Yglesias scoffs at Papa Johns’ founder John Schnatter saying the Affordable Care Act, Obamacare, will drive up costs for his company by roughly $0.20 per order, something his company will be passing along to customers.

“Stipulating for a moment that this is true, doesn’t it seem like a rather small price to pay?” asks Yglesias.

No, it’s not small at all.

Papa John’s operates 3,973 restaurants. I can’t figure out how many orders the company processes daily, but let’s assume a very conservative 100 orders per store. That’s 397,300 orders every day. Adding $0.20 to ever order in additional labor costs translates into just over $29 million in additional costs for Papa Johns customers annually.

Again, that estimate is undoubtedly low (on the last Super Bowl Sunday Papa Johns sold nearly 1,000,000 pizzas) and we’re talking about just one business operating in the country. Translate those additional costs into every business that employs people in the country, and you can see that Obamacare will inflate the cost of living in America dramatically.

A rise in the cost of living means we all get poorer. It means fewer jobs, less economic activity and less prosperity for all of us.

Yglesias shouldn’t be so quick to scoff. An extra $0.20 in cost on an order of pizza is, in fact, a big deal.

Rob Port is the editor of SayAnythingBlog.com. In 2011 he was a finalist for the Watch Dog of the Year from the Sam Adams Alliance and winner of the Americans For Prosperity Award for Online Excellence. In 2013 the Washington Post named SAB one of the nation's top state-based political blogs, and named Rob one of the state's best political reporters. He writes a weekly column for several North Dakota newspapers, and also serves as a policy fellow for the North Dakota Policy Council.

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