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Pros And Cons Of Raising The Minimum Wage

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Does More Dollars make “Cents”?
More dollars for American citizens per hour does not make more “cents”. The federal minimum wage is seven twenty-five and hour. Many people are against raising the minimum wage to various amounts. For example, many people are arguing that the minimum wage should be fifteen dollars to get many Americans out of poverty. Various people are for the raising this minimum wage. Raising the federal minimum wage would have many more negative effects than positive effects on America and society as a whole.. Increasing the federal minimum wage would have many more drastic downfalls than positive outcomes on America. One negative effect this would have on society is the demise of small businesses. For instance, small businesses would have to lay off many workers. If wages were fifteen dollars per hours, they would have to make the workers do more hardworking jobs making the needs for employees to decrease, which would dramatically hurt small businesses (“Should the Federal” 2). In addition, if the minimum wage was increased, …show more content…

Some studies have shown that raising the minimum wage would cause many owners to lay off some workers because the would put the working employees to work harder. This would cause many people to get laid off by their jobs and cause unemployment to skyrocket. “For one thing, the push for a national minimum wage of $15 an hour would actually cost employers $18.61 an hour, thanks to payroll taxes, unemployment insurance and ObamaCare taxes. The proposed increase, if passed into law, would, according to Heritage, impact one-third of all American workers, and hurt the most those working in lower-cost states”(Adelman 1). If we were to increase minimum wage unemployment would increase dramatically because many people would get laid off. This would be dreadful to American

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A recent study involving three hundred fifty thousand small businesses and the IRS proved that by raising the minimum wage, proved that by raising the minimum wage in cities, actually created jobs (Meyerson A.19). The survey showed that the cities with a higher minimum wage had more jobs come to the area, aiding in job growth (Meyerson A.19). Another argument that leans toward the raising of the minimum wage involves people in poverty. Studies have shown that by raising the minimum wage, more people can live above the poverty line (Meyerson A.19). By raising the minimum over nine hundred thousand people would be

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First, one main reason that the minimum wage should be raised is because the economy will prosper. “Economic Policy Institute stated that a minimum wage increase from the current rate of $7.25 an hour to $10.10 would inject $22.1 billion net into the economy and create about 85,000 new jobs over a three-year phase-in period” (ProCon). This quote shows that the economy will flourish from the increase of the minimum wage and that unemployment will decrease. Another quote that shows how raising the minimum wage will affect employment is “To the extent that through these contour effects it affords as much as 70 percent of the workforce greater purchasing power, it effectively increases aggregate demand for goods and services, which should ultimately lead to the creation of more jobs” (Challenger 19). Bryan Covert supports raising the minimum wage by

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The American Action Forum believes that raising the minimum wage can do more harm than good and hurt the people it’s supposed to help. Job loss in the millions would happen if the wage was raised from $7.25 to $15. People in poverty before the increase would have trouble finding jobs because companies would have to have less positions to counter the wage raise. Komlos, John. " Column: Why Raising the Minimum Wage Is Good Economics."

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The current federal minimum wage is set at seven dollars and twenty-five cents. Many workers across the country are complaining that the purchasing power of the minimum wage is currently low, meaning one cannot buy as much while living off of the minimum wage. Moreover, citizens are work full time, while earning the minimum wage, are living, on average, several thousand dollars below the poverty line. However, an increase in the federal minimum wage may do more harm than good. It is likely that an immediate increase in the federal minimum wage will lead to an increase in high school drop outs, a large cut in the workforce, mass amounts of inflation, as well as a large amount of jobs being outsourced.

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Raising the minimum wage has been one of the biggest debates during the 21st century. One side of the spectrum argues that raising it will make it so they have a living wage, while the other argues that raising it will hurt the economy. Whichever the case is, people are clearly divided on this issue. Before Oregon passed the 15 dollar minimum wage law, people wrote arguments to try to either prevent or pass this law. The article, “How a $15 minimum wage would affect a real business: Guest opinion” by Lee Spector argues that raising the minimum wage would hurt small businesses like the one he earns.

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According to the Economic Policy Institute, raising the minimum wage to $12 an hour would boost the incomes of over 35 million Americans which would allow people to not have to live in poverty or rely on government assistance to make ends meet. More than 600 economists, including 7 nobel prize winners wrote a letter to President Obama endorsing an increase in the federal minimum wage, stating that evidence shows that an increase in minimum wage shows no negative effect on job growth, and in fact increases consumer spending and therefore would increase demand and job growth, which disputes the idea that an increase in the minimum wage will lead to higher unemployment and helps to further the argument that a minimum wage increase is not only necessary, but actually healthy for the economy. Furthermore, according to NPR, the 13 states who raised their state mandated minimum wage at the beginning of 2014 all added jobs to their economy at a faster rate than states that did not raise their state mandated minimum wage. This fact disputes the claim made by the Congressional Budget Office in its report in 2014 that stated that raising the minimum wage, even to $10.10 would cost the U.S. economy arond 500,000 jobs. Economic research conducted by the United States Department of Labor and the Center for Economic Policy Research shows that increases in minimum wage sharply reduces employee turnover

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They conclude that increasing minimum wage to $15.00 would only kill the amount of jobs available. This is a basic application of supply and demand. The higher the cost of something, the less that it will likely be bought. If wages are doubled, then companies might fire some employees and/or regulate the amount of hours someone works. However, this argument has been proved wrong.

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it says that in fast food restaurants nearly 100% of increased labor costs would be pushed into their prices. Therefore, even if people are making more money, there will still be more money coming out of their pockets to pay for goods and services. So hypothetically wouldn’t they still be just as poor if they’re spending more while making more? But that isn’t all of the negative effects raising the minimum wage would have on small businesses. If the minimum wage was to move to say $15.00 per hour, then the business would have to

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Raising the minimum wage will put people who do not have the best qualities, people who did not further their education the best they could, out of a job. Only the best are going to be hired with having to pay each employee more money (Weiner, 2014). Even though there are people out there who are not as educated as others, it is not fair that they cannot get a job because of that. Just because someone is more educated than another person, does not mean that they are a better worker. Being a great worker and learning the position that they are suppose to learn, will also help educate them and in the end, it is a win-win.

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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

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Families as a whole will argue the point that an increase in minimum wages will allow families the abilities to put more food on their tables, while providing the base necessities need in the family. However, most analyses of the minimum wage focus on its unintended employment consequences. (Freeman, 1996) Some major companies have agreed to increase the minimum wages in some States, nevertheless, the amount that the wages have been increased by is not enough to get a family from beneath poverty. Proven the fact that job markets in some cases are not working in the best interest of their employees.

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One of the greatest effects of a $15 an hour minimum wage would be its impact on

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A minimum wage increase would mean a decrease in the well-being of our citizens. Our well-being would be affected because raising the minimum wage would result in issues for businesses. It would also increase unemployment and affect the upward mobility of the working class. While people will be thinking that raising the minimum wage is great, it is actually catastrophic for the country. Raising the minimum wage will result in issues for the business owners of America.

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The people who want the minimum wage to increase should protest more and try to get a bigger voice. “The current rate of $7.25 an hour to $10.10 would inject $22.1 billion net into the economy and create about 85,000 new jobs over a three-year phase-in period”(1). The Economic Policy Institute stated that a minimum wage increase from $7.25 and hour to $10.10. Some people think minimum wage should not increase and it should stay $7.25. Because it could cause teenagers and young adults to be shut out the workforce.

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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.

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