The minimum wage should not increase because it would lead to Layoffs, less jobs, and Inflation. Among other things these things should be major driving factors to not raising the minimum wage. There are pros to raising it but the cons far outweigh them and over the course of this you will learn about them. The first con to raising minimum wage is layoffs, having to pay workers higher wages could lead employers to rethink the employees they have hired which could lead to many employees who had made the cut before suddenly not meet the requirements for that job.
The issue surrounding minimum wage is causing some very skilled
Raising minimum wage would, in theory, reduce spending in regards to government welfare. If low-earning workers could earn more money, they would rely on the government less. This might be true, but I don’t think it outweighs the fact that business’s might have to shut down. Another con of raising minimum wage would be that it would also increase the price of consumer goods.
A minimum wage increase from “$7.25 to $10.10 would result in a loss of 500,000 jobs”. ("The Effects of Minimum-Wage Increase on Employment and Family Income”) This claim is better because it shows how raising the minimum wage will decrease job growth instead of increasing it. But, the minimum wage should be increased because increasing will also increase economic activity and spur job growth, decrease poverty, and improvements in productivity and economic growth have outpaced increases in the minimum
I understand from a buisness perspective that it will reduce some profit from the buisness. That's also from my experience how buisness's
Raise Minimum Wage to Address Social Inequality The 2008 Financial Crisis was a long-lasting nightmare for the general public. The Great Recession, as International Monetary Fund concluded, is the worst since World War II (IMF), and has negatively impacted almost everyone around the world. During the years of recession from 2007 to 2009, real world GDP has declined. As a result, international trade has dropped sharply, unemployment rate has raised, and commodity prices have slumped. Moreover, the income gap has been widen year by year.
This means that they are less likely to quit, therefore there would be a lower turnover rate. With this there are fewer expenses to hire and train new employees. This also saves money and will help our economy. Not only does a high minimum wage increase a worker’s income but it boosts demand and gets the economy going.
Also, for people at or a little above minimum wage it would add fourteen hundred dollars yearly to their average pay making that an additional two-hundred sixty million dollars a year into the local economy (Gorman). This could help the economy a ton since California had a drop recently. Although it seems like a great idea for workers who need extra cash, it could actually come back to hurt
Over the course of this essay being read by whomever the viewer may be, they will hopefully understand why I sit where I do. Overall I stand in between, and agree with both sides of the issue. One of the big pros of raising minimum wage is there is a lot more encouragement for people to work. Those who don’t work because of minimum wage being what it is, will have a bit of incentive to go out and work. This happening will also have another effect, less reliability on government programs.
The Minimum Wage Struggle 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.
This shows that unlike many may think, raising the minimum wage would not be harmful to the US economy. It is natural that as workers earn higher wages, they are more likely to spend as consumers, consequently increasing demand and allowing the economy to flow. People also often make the assumption that a higher wage would provoke higher unemployment rates, however research finds that raising the minimum wage does not result in job losses, “even during periods when the unemployment rate is high.” In addition, most of the states noticed a slight decrease in their unemployment rate a year after the raise in minimum wage (American Progress Action). An article from the Federal Reserve Bank of Chicago claims that if the federal rate was to increase by $1.25, it would aggregate household spending by $48 billion as well as increase the level of GDP by up to 0.3 percent (Chicago Fed).
After being first implemented in the U.S. in 1938, minimum wage has been a major discussion for several years. Should it exist? If so, how much should it be? Should it be the same for everyone? All of these questions are heavily debated, and many people have different points of views Minimum wage can have both positive and negative effects.
When a minimum wage is set, workers don 't feel the need to work hard as they know that no matter how they work, they will still receive that minimum amount set. This further lowers the morale of the employees who want to work efficiently as their pay is the same as their
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.
In the past three years, many politicians and labor unions have been pushing for an increase in minimum wage. Minimum wage is the lowest set wage by a law of a government body. An increase in minimum will benefit some people, and hurt others. An increase in minimum wage will cause benefit in the short run but will be very damaging to the economy in the long run. There should not be an increase in minimum wage because it is unhealthy to the economy in the long run and it will be the major cause of job loss, increase in inflation, competition, and the price level of goods and services.
