Pros And Cons Of The Minimum Wage

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Minimum Wage: The Pros and Cons
Looking back over the last century, minimum wage has been a divisive subject among policy makers and economists in the United States. As far back as 1938 when the Fair Labor Standards Act (FLSA) was first introduced, minimum wage has been a contentious issue. After much judicial opposition, President Franklin D. Roosevelt signed into law a bill which was a landmark in the nation’s social and economic development. The bill banned oppressive child labor, set the minimum wage to twenty five cents, and set the maximum allotted time to work at forty four hours per week (Grossman). The fight regarding minimum wage continues today, and one of the most frequently asked questions in our country, when it comes to
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Many families are working multiple jobs or they are relying on the government to help them. Living paycheck to paycheck is no longer a viable way to survive, but there seems no other alternative to this. Kevin Hassett and Michael Strain of the Los Angeles Times, discussed that raising the minimum wage is a bad idea “on the grounds that higher labor costs will lead to higher unemployment” (Hassett). Instead of creating jobs minimum wage will have an adverse effect and companies will reduce their workforce, which will grow the unemployment line (Hassett). When President Obama announced his proposal to increase the minimum wage, he argued that by doing so, it would alleviate poverty and boost the economy. The president was making the country pay attention to the fact that the poor had been suffering for years, as the nation faced a tough economy, and that families should earn a wage that would take them out of poverty. But many conservatives believed that increasing the minimum wage was not going to accomplish this goal. Many people who live in poverty do not work, and so would not be affected by a wage increase. In addition, most workers who earn the minimum wage are generally not the main bread winner in the household. They are the students just joining the workforce and working their first job in high school or college, and it is the elderly looking to fill in some time and earn some extra retirement income (Hassett). “Data taken from the Bureau

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