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Raising The Minimum Wage Essay

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Should the Government Raise the Minimum Wage?
The government raising the minimum wage could benefit some but harm others. Overall however, the benefits would outweigh the costs. There is a chance that there will be a decrease in job openings, risk of being laid off current jobs, and reduction in hiring. However, none of these are a given. The government should raise the minimum wage in order to benefit the people who are underpaid daily, and raise people’s standards of living. “6.6 million people will benefit from a rise in the minimum wage.” -Russ Carnahan
The minimum wage in the United States is $7.25 an hour. Often, that can be enough to provide for a lower class family, but often not. That will just be the absolute basics. For things like college tuition, and life insurance there will not be enough to go around. When people work hard daily and barely get paid enough to to get by, it’s shameful. The government can raise the minimum wage even by just a few dollars, and that can make a huge difference. …show more content…

In turn, this will lower the amount of jobs available. In areas with higher living costs, a higher minimum wage can make sense (Johnson, 2016). However, in lower class areas, the potential for consequence is higher. However, it is still not extremely likely. If someone has a job, they are more likely to keep and benefit at the same time because of the increased wages. Additionally, high-quality academic research confirms that modest increases in the minimum wage have not led to detectable job losses (Economic Policy Institute). Not only that but raising the minimum wage will actually “result in a significant increase in GDP and employment,” according to a study performed by Doug Hall and David

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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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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.

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Discussion surrounding raising the minimum wage in the United States has been an ever-increasing talked about subject. Various arguments have been presented on either sides of the spectrum. With that being said, I believe that raising the minimum wage would have more negative effects on our economy than positive ones. As you may know, Former President Barack Obama was a supporter of increasing the minimum wage, once stating that “no one who works full time should have to live in poverty.”

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The federal minimum wage should be increased because raising it would increase the economic activity and spur job growth, decrease poverty, and also improvements in productivity and economic growth have outpaced increases in the minimum wage. Increases in job growth and economic activity will happen when the minimum wage is elevated. If the minimum wage was increased it will “inject 22.1 billion net into the economy and create about 85,000 new jobs over a three year period”. (“Raising the Federal minimum Wage to $10.10 Would Lift Wages for Millions and Provide a Modest Economic Boost") Thousands of new jobs will be created and it will put billions of dollars into the economy.

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Don’t Raise the Minimum Wage: If we were to raise the federal minimum wage we would experience an assortment of problems afterward. We would see obstacles such as people staying at the minimum for the rest of their lives, elimination of the amount of jobs that are at minimum wage, and it could have a slight economic inflation on business’s products. Imagine if you come home after work, heavy knowing you had to tell your family that you were laid off. You were all excited because there was going to be a higher wage, but in order to pay for all the other workers they had to cut from yours. With a higher minimum wage this could be a familiar occurrence.

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There has been a growing controversy surrounding the federal minimum wage and whether it should be raised to $15 dollars an hour or not. Many American minimum-wage working citizens support the notion that the federal minimum wage of $7.25 per hour should be raised to $15.00 per hour, based on the fact that a job which pays $7.25 an hour will not provide the funds necessary to support themselves or their families. While a pay-raise may seem to be the solution to their problem, raising the federal minimum wage would do more harm than good. The federal minimum wage should not be raised to $15.00 an hour because it is not economically feasible, and would hurt small businesses.

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