An increase in the minimum wage; is it good or bad for society
In 2008 the recession caused by the collapse of the housing market affected many individuals and corporations. The problem started with the banks freezing credit. The banks were scared that that others would not be able to pay them back so they stopped lending money. This slowed down the circulation of cash causing the collapse of the market. The government created many solutions to the recession problem. The 5 main solutions were bailing out the auto industry, TARP, Stimulus, Balance Budget amendment, and raising the minimum wage. One problem the government faced was how to get consumers to buy essential products again. To do this the government came up with the solution of raising the minimum wage. Raising the minimum wage was a key to getting consumers to buy essential goods again. Raising the minimum wage has been debated for the last 20 years and the bill has been constantly modified. In 1995 Bill Clinton introduced the bill but it was the Obama administration that got the bill to pass the senate. The final version of the bill was trying to raise the amount of money that was in circulation and to cause a ripple effect that would help everyone. The goal was to allow unskilled workers the ability to spend money on goods. This in turn would give the producers both money and
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By increasing the minimum wage, you are taking money away from CEO’s and giving them to the poor. This allows for the minimum wage workers to have a better life style. According to data from The New York Times before the increase in minimum wage the average unskilled worker earned approximately 15,268 dollars a year before taxes. Now the minimum wage salary per year before taxes is 20,000 dollars. The extra money will allow for poor workers to purchase better homes and improve living