Minimum wage was first established in 1938 by Franklin Delano Roosevelt, in an attempt to stimulate economic growth and create a better standard of living for the lower class. This attempt was fairly successful, but also has many consequences. You may be asking yourself, “how on Earth could setting a limit on how little you can pay someone be bad?” On the surface this statement seems logical, but if we delve deeper we begin to see many negative effects on the implementation of minimum wage. In our nation the minimum wage law almost seems out of place, like it doesn’t quite fit in. The reason for this, is the core mechanics within a market economy. A market based economy is defined as “an economic system characterized by private or corporate ownership of capital goods, by investments that are determined by private decision, and by prices, production, and the distribution of goods that are determined mainly by competition in a free market.” (Merriam-Webster) As you can see minimum wage does not follow this rule of competition and the decisions of private investors. It is in the economy’s best interest to abolish minimum wage because it will cause an increase in employment, stimulate economic growth, and allows for an easier escape
Money is an essential object to acquire in the society we live in. Various places demand a high monthly rate in order to occupy a premise, along with the stress of utility bills that may not be included. Aside from living costs there are many other factors which must be calculated when budgeting on a day to day basis. Overall, the survival rate tends to increase due to so many responsibilities that need to be upheld, as well as costs being raised. This rise in both the cost of living as well as the need for higher wages proves that the standard of minimum wage needs a major increase.
Mike Durant once said, “Making it more expensive to create new jobs is a perfect way to guarantee fewer of them.” The recent, “Raise the Wage” campaigns have sparked an interest in many low-wage workers, however those who support this initiative are unaware of the economic problems that will arise if this is successful. Several cities have already raised their minimum wages and some, like Seattle, are raising it as high as $15 per hour. Currently, supporters of this campaign argue that this raise should be implemented federally. However, doing so will have broad and negative financial implications. Ever since the Great Depression, the minimum wage has been in effect — in order to reduce poverty and solidify that employees are paid a reasonable sum. Although the minimum wage can be beneficial and advantageous for individuals and to our economy as a whole, it can also be detrimental to our nation’s finances. The federal government should not allow this to pass, but rather they should increase the citizens’ knowledge of the pernicious consequences and complications that will arise with a higher minimum wage, especially one as high as $15 per hour. Some of the resulting conflicts that will occur if this possible raise in the federal minimum wage takes effect are: job loss, business failure, higher consumer prices, and a lower demand for uneducated employees. Although it may appear as if increasing the federal minimum wage will help to lift families out of poverty, in
The talk of the town has been the fast food strike for minimum wage to raise to $15 dollars an hour. Many are against this because they do not feel like fast food restaurants deserve to be paid $15 dollars an hour to flip a burger and deep fry French fries. Others, believe that they do deserve that much because they cannot live a comfortable life on the minimum wage now. The controversy is whether a fast food job is suppose to be a short term job or a long term career? There are many other professions that went through years of schooling and testing and only make a little over $15 an hour. Yet, fast food where all one needs is either a GED or high school degree and no college requirement is needed wants to make $15 an hour. Which to choose: raise minimum wage or keep it the same at $7.50 an hour?
Since the election and reelection of President Barack Obama the increase in minimum wage has been a major topic for the United States. His proposal to increase minimum wage has sparked a lot of controversy with some Americans. Many believing that increasing minimum wage will have a negative impact on our economy and even our educational system. They argue that increasing minimum wages will harm the very people it was intended to help because it will increase housing cost as well as the price of consumer goods. They argue that it will decrease the high school enrollment rates at the same time increase dropout rates.
In the article A Capitalist’s Case for a $15 Minimum Wage, the author Nicolas Hanauer urges for a raise in the nation’s minimum wage. Hanauer is a founder of Second Avenue Partners, a company focused on startup and emerging technologies. He also plays a major role in the founding of a dozen big name companies. As an entrepreneur, Hanauer has thoroughly analyzed the benefits raising the minimum raise would have on citizens, and especially on businesses. In his central argument for this change is that it will repair the economic cycle. The economic cycle essentially means workers are a business’ customers. If workers are only making so much money they are not making enough to buy the goods of a company and supplement their basic needs. Hanauer figures that raising the minimum wage to $15 would put about $450 billion
Bernie Sanders wants to raise minimum wage to fifteen dollars an hour and minimize the requirement for welfare. He wants healthcare and education to be free. He is also for the legalization of marijuana. Sanders has a strong bottom line that mainly consist of passing the “popular” laws. Bernie Sanders has a “paper theory.” Which means, it works in theory, on paper, but cannot actually be applied.
In this paper I wish to examine two different points of view on rising or not the minimum wage. Minimum wage, the lowest daily or monthly remuneration that employers may legally pay to workers. It was set for the first time in 1939 and varied with time. The most currently change has been made in July 2009 and people are willing changes to be done. This issue is significantly important for different aspects such as impact living standards and labor market, effect on business and country's economy in general. The proponents of raise of minimum wage support their opinion by saying that the rise will cause improve in living standards, create more opportunities for jobs, and boosts workers' morale. As Ed Markey, member of the United
Since the Great Depression, there has been a minimum wage in America, but this minimum wage has changed 22 times since the Great Deprnbession. Many people say minimum wage should stay at $7.25 like it has been since 2009. Meanwhile, other people believe that minimum wage should be $15.00 so they can have more money to live comfortably. People think that a higher minimum wage will help, but it will hurt more people than it will help. If America makes the minimum wage $9.00, people will no longer be in poverty and it will make the economy balance out.
Terri Babbage wrote an article called, “Dignity for the Workers”. She talked about the reality that workers in low earning jobs have to face, how difficult it is for them to meet all there needs. There wages are low and they dont get much time off. Terris’ essay shows sympathy saying, “We cannot allow this ruthless exploitation to continue, especially since the companies know they are doing wrong”. (Babbage 12) The big corporations know that the pay is to low but they are still meeting the minimum wage requirement so nothing will
Did you know that about nearly 20.6 million people (or 30% of all hourly, non-self-employed workers 18 and older) are “near minimum wage workers”? (Desilver). Also, the restaurant and fast food businesses are the single biggest employers of near minimum wage workers. (Desilver) Many people that are paid minimum wage are student workers, people with little to no education, or people without a high school diploma. Minimum wage workers are paid what the government or the labor union thinks they should be paid. I personally believe that the minimum wage should not be raised. Not every state will have an equal wage because in some states some jobs are more complicated than in other states. Everyone shouldn’t expect to be paid the
You all are searching for your first job. You receive an interview and a few short days later your hired! You work for a month and receive your paycheck, and find that you are only making $7.00 and hour. The United States minimum wage is 7.25 per hour. As Americans we think that this number is truly outrageous. What Americans do not know, is how this measly number compares. In Mexico the hourly wage is below a dollar, Chile 's is $3.00, Estonia is $2.50, Poland, Turkey and Greece all rest at a steady $4.00. All these numbers are converted to U.S. currency, allowing you to see how these countries compare. Now think about working for hours on end, not going to school, barely seeing your family, and possibly living on the streets. This is Poverty. We don 't understand that teens just like us are trying to get jobs in other countries while trying to juggle school, family issues, and keeping up mental and physical health. Poverty is currently affecting teens by hindering the amount of schooling one would receive, and creating poor physical and mental
With everything going on with the Walmart workers picketing for fifteen dollars an hour wages, the topic is widely discussed with many people taking many different sides. The essay “Raising the Minimum wage will reduce poverty” By Sharon Parrott and Jason Furman, They go into how they think the minimum wage should be raised in order to decrease poverty in america, Of course there are reasons to raise it and reasons to not raise it. Yet with the multitude of reasons for and against it, it’s hard to make a decision that makes everybody content, Some of the reasons not to raise it include, Raising it can make prices for everyday items go up, Why go and spend thousands of dollars on college when you could get a decent job right out of high school, and Why let workers who work at unskilled jobs make as much if not more than the military. Some reasons for minimum wage raising is, The fact that the cost of living is higher means people can’t survive with minimum wage without federal care, And just helping people get back on their feet when they couldn’t find a job. The reasons Minimum wage shouldn’t be raised outweigh the reasons it should.
America today is faced with its fair share of problems. There are low employment rates, debt, and inflation everywhere, riddling the economy with issues. There is absolutely no reason that any American citizen should want to pile upon the problem. Yet, some believe that it could be done by raising the federal minimum wage to fifteen dollars an hour. Fortunately, history, economics, and common sense prove the minimum wage raise proposition wrong.
Whether a teacher shall turn out to be the hero of a child 's life, or whether that station will be held by anybody else, these pages must show. While some people believe that teachers are overpaid and make up for their monetary pay in benefits, It has been believed by some, that for the work that teachers do and how much they shape our society that they should be paid much more than they are now. The amount of time teachers spend in the classroom preparing for the week and planning lessons and even to help students extend past school release time and the time that they are paid for. Most of the time work continues to go home with them. Teachers do this to assure that their students are prepared and can succeed.