What new, Significant question do these texts raise for me? Is it too late to depend on the government to fix this problem? If minimum wage is increased will it put many lower-level wage employees out of a job (Saltsman 40)? Is it true that there is “little connection between a higher minimum wage and reductions in poverty” (Saltsman 40)?
Many argue companies wouldn’t be able to keep the same amount if workers, and half a million jobs would be lost (Minimum wage). This is not true, the extra money in customers hands would raise the economy enough to cancel out the extra costs, and actually create more jobs. Jobs might initially be lost, but in the long run, they will recover with a vengeance. In the end, when people say raising the minimum wage would lose jobs, it is a temporary loss that will recover within a year or
Small Businesses could go out of business if we raised the minimum wage to a higher price. This is a widely debated subject of money, income, and the effect raising the minimum wage can have on businesses and the economy. Currently, the federal minimum wage is seven dollars and twenty-five cents and have been established that way since 2009. It has been said minimum wage should be increased to accommodate living expenses and travel time to places of work. The problem with raising minimum wage , that many people do not realize, is how it affects big and small businesses.
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.
However, according to the article “Why Get Off Minimum Wage?” from the Los Angeles Times, a family of four in California can get up to $35,000 in government subsidies and benefits. That adds up to about $50,000 a year per family of four. That seems like a decent amount of money to live off of. Proponents of raising minimum wage also argue that if lower class citizens have more money, they will spend more, stimulating the economy. In theory, it sounds like a scenario that would work, but it is actually not so different from the basis of trickle down economics, a right wing theory that argued that the wealth of the rich will “trickle down” to the poor. Trickle down economics argues that the rich will stimulate the economy by distributing their wealth, and the advocates of raising minimum wage assume that the lower class citizens will distribute their wealth into the economy.
His viewpoint is the minority of those in his status as a highly successful businessman, as when businessmen are questioned about raising the minimum wage, they mostly argue for the opposition. Their arguments usually state how their businesses will suffer; such as the fact they will be losing money due to the increase they’re being forced to pay workers. This most likely won’t be the case because money is forever changing hands and giving more money to minimum
Argument against Minimum Wage Claim: Raising the minimum wage could lead to bigger problems. Support: The US would lose 500,000 jobs (Congressional Budget Office report, Economist and public policy experts ) Increased consumer prices, driven by companies offsetting increased labor cost (Econo-mist and public policy experts). A possibility higher minimum wage would attract more experience workers that would stay in a low paying wage longer, which makes young people and other people with lim-ited work experience not land entry-level jobs (Economist and public policy experts).
Although there are many ways to look at minimum wage, such as the increase and decreases, and how it will affects today 's economy it has both negative and positive effects. I believe that the minimum wage has an overall negative impact because whenever the minimum wage is increased it only makes more people recede into poverty when it is supposed to do the reverse effect. Minimum wage was originally made for people just starting out or a pay for low-skilled employees. I believe that if people can 't afford the stuff they need because of a minimum wage, then they should work harder to either get a pay raise or move to a higher paying job. This would not only help our economy grow but help people out of debt and poverty.
Restaurant owners, facing a higher wage bill, would like to pass the costs on to their customers. But their customers are people whose incomes have not been affected much, if at all, by the higher minimum wage. So if prices at the restaurants go up, these people will buy less and the restaurants will now lose some profits. They may raise prices a bit, but not much. Whatever they do, the restaurant owners will have to, if you’ll pardon the term, eat some of the increased costs.
Should the Federal Minimum Wage be Increased? Have you ever thought that you wanted a raise at work but did not have reasons? In this essay you can give your boss these reasons and get more money. The minimum wage in 2012 was $7.25. The minimum wage is a large-scale reason of poverty.
Raising the minimum wage isn 't entirely beneficial. It could potentially lead to more unemployment as some businesses may reduce their number of employees or reduce their hours in order to offset the cost of paying a higher minimum wage. Some may also increase the prices of products or services offered. It can also possibly lead to a decreased interest in college education since minimum wage jobs are paid almost the same or can be more than what jobs requiring college education pay.
If there is a gain for the worker, it is also followed by a loss. So if the employees have a gain of the rise of the minimum wage, the company suffers on providing the superior insurances, proper training, equipment, or environment. You will have a gain from a raise of the minimum wage. Sure, that is if you manage to keep your job. Otherwise, you are looking at a high risk for unemployment and on that occasion, you will have a difficult time finding a new job due to the expensive cost to hire new low-skill workers.
Side 2 argument 2. A study from the Federal Reserve Bank of Cleveland found that although low-income workers see wage increases when the minimum wage is raised, "Their hours and employment decline, and the combined effect of these changes is a decline in earned income.” They could be getting more money but then their employer might cut their hours.
According to Don’t Raise Minimum Wage written by Sean McGarvey, by raising the minimum wage less jobs will become available to laborers causing an inflation in prices to buyers. If the wages increase large corporations such as McDonalds and Walmart will lay off the majority of their workers in order to pay for the other employees raise. The employees that get laid off are often the ones that are too young and inexperienced to better the company. This could prevent teens and less experienced laborers from getting jobs. These companies also could higher their prices on their products in order to pay for the raises for their employees.