Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
It won`t matter because prices will simply increase to compensate for artificially high wages.
The real problem, the one that isn`t being addressed, is an oversupply of labor due to ****ty trade deals, illegal immigration, guest workers and artificially low interest rates.
With the low information types focused on the minimum wage, Democrats along with corporate ***** Republicans will grant amnesty to millions of job stealing illegals with millions more ready to pour over the border.
Inflation happens regardless of wages going up or not. Also, we are talking about increasing the minimum wage, not about increasing "high wages." When did $15/hr become a "high wage?"
We are a part of a global economy, that won't be changing any time in the near future, but that is not a good enough excuse to prevent minimum wage from increasing.
The amount of illegals in this country "stealing jobs" is a small percentage, and are often times doing work for less than minimum wage. That isn't a good enough reason not to raise the minimum wage, it is a good reason to go after those that hire illegals and pay people below the minimum wage.
Inflation happens regardless of wages going up or not. Also, we are talking about increasing the minimum wage, not about increasing "high wages." When did $15/hr become a "high wage?"
We are a part of a global economy, that won't be changing any time in the near future, but that is not a good enough excuse to prevent minimum wage from increasing.
The amount of illegals in this country "stealing jobs" is a small percentage, and are often times doing work for less than minimum wage. That isn't a good enough reason not to raise the minimum wage, it is a good reason to go after those that hire illegals and pay people below the minimum wage.
The amount of people making minimum wage is also a small percentage. Less than 5%, iirc.
We would see a temporary spike in spending as the minimum wage earners temporarily became "ghetto rich", but it would very temporary.
Welfare would still cost about the same in relative dollars, since minimum wage earners would be right back on the welfare roles once the markets adjusted, and would have a few new friends to come along with them after businesses pushed more automation to offset labor costs.
Exactly so. An increase in the minimum wage results in thedecrease of both the employment of and the income of employed low-skilled workers. Both facts published by UCSD's Dept of Economics.
Quote:
"…we find that minimum wage increases significantly reduced the employment of low-skilled workers. By the second year following the $7.25 minimum’s implementation, we estimate that targeted workers’ employment rates had fallen by 6 percentage points (8%) more in ‘bound’ states than in ‘unbound’ states. …Over the late 2000s the average effective minimum wage rate rose by nearly 30% across the United States. Our best estimate is that these minimum wage increases reduced the employment of working-age adults by 0.7 percentage points. This accounts for 14% of the employment rate’s total decline over this time period and amounts to 1.4 million workers. A disproportionate 45% of the affected workers were young adults (aged 15 to 24)."
It won`t matter because prices will simply increase to compensate for artificially high wages.
The real problem, the one that isn`t being addressed, is an oversupply of labor due to ****ty trade deals, illegal immigration, guest workers and artificially low interest rates.
That's not all. The oversupply of low-skilled bottom wage labor is also due to this:
It doesn't work that way in the real world. We've already been down this road. Here's one example of how laissez-faire economics works: History Files - Pullman
That doesn't apply here. We are not in any deep depression, and nobody is cutting anybody's wages. We are discussing forced wage hikes (by government action) that would increase wages above the value of labor.
"What the market will bear" is still a valid rule of thumb. The Market is a regulator. When price exceeds what buyers are willing to pay, the price must come down. When government acts to force wages higher than the value of that labor to the employer, the employer may lay off the workers and outsource, go to automation, or reassign the work to others (I have seen this ... other employees doing other jobs take on additional responsibility, and the former workers are laid off).
In any case, the result of forcing a minimum wage higher will likely not be in the wage earners favor.
Yup. This is the over looked statistic. About 25% of American workers make $10.00/hour or less. That is pretty pathetic in 2015 America. Aren't we supposed to be an "exceptional" nation?
Yup. This is the over looked statistic. About 25% of American workers make $10.00/hour or less. That is pretty pathetic in 2015 America. Aren't we supposed to be an "exceptional" nation?
So a $10.50 an hr minimum wage would give 25% of works in the US a raise?
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.