Aspects of minimum wage increase
The minimum wage is an economic definition which depends considerably in the relationship with means of production, this sets a given perspective. When means of productions are not possessed, that means being a worker, then minimum wage is the minimum quantity of money he needs to satisfy his basic needs; however, minimum wage for producers is the minimum quantity they are allowed to pay to their workers, even if that quantity can not even allow the workers to live a dignified life. Historically there have been major debates around minimum wage, which have been represented through academic, social and political conflicts. Most worker’s strikes are related to wage and have generated different temporal outcomes. Wage is central to the overall cycle of production-reproduction of society. Based on social and economic elements, a critical
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Not only the increase in minimum wage allow working class to live a more dignified life in regards to most basic necessities, but the increase in income opens the possibility to spend more money, therefore the demand increases which benefits the producer. The minimum wage increase provoke a more equilibrated redistribution of income, it means that money which is usually accumulated is now put into circulation. (O'Sullivan and Sheffrin 81)
Free time increases when minimum wage increase. Traditionally, when low minimum wages are set, given that workers only have their labor forces to sell they orbit around work because there is a need to survive physically. When a person has a more integral income secured, there is time and space for other activities other than working. Furthermore this echo in the creativity of worker’s projects. Firms can use this opportunity to fund different projects which can in result return profit. (Hansen