Positive Effects Of Raising Minimum Wage

Many argue that raising the minimum wage makes hiring workers more expensive, eliminates jobs at the bottom, slows growth and ultimately raises unemployment. Economic studies show that raising the minimum wage to keep pace with inflation creates little additional harm, but what the president is

There are many pros to increasing the minimum wage, most of which are simple enough to understand and make someone think that there is no reason not to increase the minimum wage. The first and most important benefit of increasing the minimum wage is that workers are able to work to earn a living wage, a wage that is high enough that workers are able to maintain a normal standard of living. Next in line is that a higher minimum wage will increase workers incentive to work, and also increase the incentive of the population not in the labor force to join the labor force and seek jobs. Going off that point, increasing the minimum wage will reduce the need for social programs, such as unemployment, welfare, SNAP, etc., because there will be fewer people living at or below the poverty line and that qualify for these programs. Moving along the list of advantages, increasing the minimum wage will also increase the amount of money workers

If it costs more to pay low-skill employees, than employers could replace 2-3 employees with 1 skilled worker who can multitask and perform the job at hand well. Another thing to think about when considering raising minimum wage is healthcare. Many workers would rather make less on the hour and be able to have company sponsored insurance rather than make more on the hour and have those hours cut back and left to get Obama care exchange for insurance that they may not need. One more factor to consider is that supporter’s of this debate is that raising minimum wage will reduce poverty and homelessness. According to Forbes roughly 60% of the homeless do not work, the only thing raising the minimum wage does for them is make it harder to obtain a job (Dunkelberg 1). Therefore not only does raising minimum wage eliminate jobs from people but it does not help reduce poverty

You may wonder how the economy is affected negatively through minimum wage, so I’ll start there. The health of the economy is based upon an array of factors. Many people misconstrue this fact and think the economy is just based on the amount of money that the government have at their disposal and to be frank I can see why they do as such. The fact of the matter is that the economy and its health is based mostly on Gross Domestic Product or better known as GDP. The GDP alone does not indicate how well our economy is swaying, but change in it do. The goal for our economy and is to grow, have great price stability, and most importantly for this topic: have a high employment rate. Employment rate stand out most in this instance because of the power that minimum wage law has over it. One point that can easily be made that the higher the wage, the more people are going to want to get up and get up and work. The problem with that logic is that the demand for jobs will be high, but the supply for jobs will run out well before everyone is employed if the minimum wages was incredibly

The minimum wage in this country has been a controversial issue. Many people believe it will help reduce poverty and boost the economy. However, they are not looking at the downfalls this will bring to our country. This could make the unemployment population rise, it will raise prices of other things, and would have little effect on reducing poverty. Raising the minimum wage would have a negative influence on our country.

Even though Janice Steele, conciders, minimum wages increase not to be a good idea.She feels that it will cause a major job lost if the minimum is raised. Ira Knight has the strongest support about the minimum wage increase versus, Janice Steele disagreeing . While Mr. Knight outlines the benefits of raising the minimum wage, I can personaly see the improvements this increase could make in my house.

A higher minimum wage is deleterious to the fragile American economic system. Raising the minimum wage is often cast as a necessity to ensure that employees are able to earn a decent living. But it’s also a complicated issue that goes beyond those who clean bathrooms, flip burgers, and bag groceries. It´s implications directly affect business owners and how their businesses are run. A higher minimum wage is detrimental to the economy because it devalues the dollar bill, is bad for small businesses, and causes severe increases in unemployment.

In recent years, the demand for an increased minimum wage has erupted across the nation. During the ongoing debate, a few states, cities, counties, and companies have taken the initiative to raise the minimum wage of $7.25 per hour to the varying wages of $7.50-$11.50 per hour. According the United States Labor Department, 29 states and the District of Columbia pay above the minimum federal level of $7.25 per hour. The raising of the minimum wage has numerous supporters; however, there are individuals who are opposed. The analyzation of ethical theories, such as, utilitarianism, altruism, and egoism will be utilized to obtain a more significant understanding of the importance to raise the minimum wage to a livable wage.

The different positive effects that would result from a higher minimum wage are clear. It would rise the earnings of hard working families, and economic growth, to create about 100,000 new jobs. In an economic climate in which wage increases for the most vulnerable employes are unusual, is an opportunity that families in society cannot looseProtecting workers from abuse is something positive about raising the minimum wage because it would help to reduce the abusive, exploitative employees whom take advantage of the currently low minimum wage to seek cut-rate help. Also, it will help people to get out of debt, when you make more money and you still paying the same amount of bills that you were paying before. That extra money can be use to pay

Creating jobs, raising minimum wage, donating to the poor are not going to erase the poverty out of the United States of America. The government defines poverty as the bottom fifteen percent of annual income. No matter what one does to increase a person’s income there will always be someone in poverty. Across America there are always charities, religious groups, and civic clubs who are giving to the poor--from food giveaways, clothing giveaways, free tutoring, free health screenings, whatever else there is constantly something for the poor to benefit from. The problem is that people want to help, but if they are constantly giving the needy these items, services, or money, then are the poor becoming dependent? When will one person stop

Minimum wage has been a constant battle in the United States for decades. The ultimate goal is to put the American people in the best position possible to succeed and be the least limited. Many believe the immediate thought that higher wages equals higher standard of living and mitigating the poverty gap because more money will be in the hands of consumers, but this is a near sighted belief. The long term effects of raising wages not only will cause detriments of loss of employment, mistargeting, technology replacement, but will also cause for a loss of incentives to work which will diminish the opportunities and economic stability offered. Allowing for this to take place would be a disservice to the American people.

On the other hand, there are also a few positive effects caused by minimum wage. Although in the microeconomics level, there seem to be a disadvantage, but in a macroeconomic level, minimum wage shows an overall positive. Minimum wage ensure that the spending increases. When the spending in creases, aggregate demand(AD) inceasr and creates the Keynesian multiplier effect on the economy. Keynesian Multiplier shoes ny government spending brought about cycles of spending that increased employment and prosperity regardless of the form of the spending. (Investopedia

I believe minimum wage should be raised. There are several reasons why I think it should be raised, but there are also several negative outcomes if minimum wage were to be raised. I was making minimum wage while I was a cashier at Best Buy, and I felt like I wasn’t making much money. It wasn’t enough for me to get by. Raising minimum wage could benefit people who are battling cancer, pregnant women, and prevent premature fatalities. Raising the minimum wage could also affect low-paying jobs and put them out of work. It would also alter people’s rent, bills, and food stamps. Some people say it would be unfair to raise minimum wage. Raising minimum wage would also affect gender equivalence. I think it is important to research the raising of minimum wage because a lot of people think raising minimum wage is just beneficial, but it has a lot of negative outcomes as well. Minimum wage should be raised because it promotes a healthier lifestyle, helps people afford things they need, and help the economy grow, but it would also cause in-equality, inflation, less people being hired, and unemployment.

The minimum wage has been around since June 25, 1938. When Roosevelt initiated the first minimum wage, starting at 25 cents, it affected 20 percent of the population. Senator Edward Kennedy referred to the minimum wage as “one of the best antipoverty programs we have.” Jared Bernstein, former chief economist to Vice President Joe Biden, stated “it raises the pay of low-wage workers without hurting their job prospects.” Ralph Nader mentioned low-wage workers deserve a pay increase and the government is responsible for providing them with one. All politicians stated above favor a minimum wage, but to what extent should the federal government be held accountable? Raising the minimum wage to $15 would cause unemployment percentage for lower skilled workers to rise.

Should we raise the minimum wage of $7.25? President Franklin Delano Roosevelt in 1938 established the minimum wage of $0.25 per hour during the Great Depression. Congress has raised minimum wage 22 times. The last increase was in 2009 when congress raise it from $6.55 to $7.25 per hour (“Should the Federal,” 2017, para. 1). Those who favor the idea of raising the federal minimum wage agree that $7.25 is not enough for living expenses and that increasing it will better the economy (“Should the Federal,” 2017, para. 2). People who are against boosting minimum wage say it will force businesses to shut down, cut workforce, and put a limit on hiring. Above all, those with little experience will find it harder to find a job (“Should the Federal,” 2017, para. 3). Increasing the federal minimum wage is an inconvenient idea because it will increase poverty, damage businesses, and leave young adults out of workforce.