Should Government Raise Minimum Wage

The case against raising the minimum wage is very simple: a higher wage will make it more difficult and expensive to companies to hire workers. What will be the consequences on the economy? Well, companies won’t be able to pay all of its workers which will lead to more unemployment. At the end, people who keep their job will have a higher profit, however those who lose their job will suffer.

To begin, increasing minimum wage would increase economic activity. With an increase of $1.75 hourly, it has been predicted that there would be increase of aggregate household spending to $48 billion the next year (Aaronson). This increase would boost the United States GDP and lead to job growth, which proves that higher minimum wage equates to higher economic activity. In addition, it has also been found that raising minimum wage would would benefit

Next, another problem the rise of minimum wage poses is the rise of inflation. If employers are required to pay their employees more, then they need to do something to compensate for the extra money they are losing. With this in mind, employers would have to increase the prices of goods. But sometimes raising prices is not an option for employers. “If a business cannot simply pass along its new labor costs, it must somehow absorb them—by eliminating workers rendered unproductive by the new minimum wage, by replacing labor with more-productive machines, or by cutting production” (Intorduction 2). This brings back the issue of minimum wage causing a dramatic increase in unemployment. Sherk believes it is the wrong time to increase minimum wage, due to the fact that America is currently in a recession. The right time to think about raising minimum wage would be when the unemployment rate drops drastically. Sherk states “In 2007, Congress voted to increase the minimum wage, raising it in three $0.70 increments from $5.15 to $7.25 an hour. The final installment represents a 10 percent increase in the cost of hiring minimum wage employees” (Sherk 1). Seemly inflation and minimum wage increases influence each other.

This has been a discussion for the ages. The debate over raising the minimum wage has been a hot topic. Raising minimum wage would reduce poverty, be better for lower paid workers, and to reduce expense for social programs.

the poverty levels would increase dramatically. If the economy were to increase its minimum wage it would cause a skyrocket of prices on everything throughout the country. Also the people who would be making minimum wage there hours would decrease lower than ever before. This also then means that if we were to increase pay that housing prices would skyrocket as well, leading to higher poverty levels. When we add all this up and raise pay people would begin to realize why pay is how it

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

Minimum wage is an ongoing debate in the United States. There are some people who think that it should be raised to a higher rate and others who think that it should not. There are many different pros and cons with raising minimum wage. Minimum wage is at a balanced rate that should not be raised due to lack of skill, low education, and economic problems.

There are so many benefits of Raising the minimum wage. Firstly, it will increase income of 28 million Americans. “A 2013 report from the Congressional Budget Office estimated that 16.5 million low-wage workers would benefit from a

Raising minimum wage has been a debate for quite some time now. President Roosevelt started minimum wage in 1938. When minimum wage was first set, Roosevelt had set minimum wage at $0.25 an hour. Since then, minimum wages had gradually increased to $7.25 an hour and has not been risen since July 2009. According to an article on ProCon.org, “congress has increased federal minimum wage 22 times.” When making such a decision, pros and cons should be weighed. People should also remember that minimum wage may be different from state to state. For Example, Michigan is where I’m from and minimum wage has increased to $8.90, as of January 1, 2017. Other examples include; California at $10.50, Arizona at $10.00, and Massachusetts at $11.00. Because everyone has different feelings about whether to raise minimum wage, weighing the Pros and Cons is very important for congress in making the right decision. For the citizens of the United States and for their future. I believe that the Pros outweigh the Cons.

If minimum wage was increased many jobs would be lost. Employers would be forced to fire people because they wouldn’t be able to afford to keep them. “In 1938 minimum wage was raised by twenty-five cents, resulting in many people losing their jobs” (Cato Institute). Unemployment rates would be higher than ever. Raising the minimum wage would also make it more expensive for business’ to run, giving them no choice but to close down sending more people out of work causing the unemployment rate to go up (ProCon.org). Raising the minimum wage would result in higher prices, which would then result in less items being sold (ProCon.org). Without money

I personally feel that the increase in the federal minimum wage law would cause more problems in the economy. Raising the minimum wages would cause more unemployment with in American’s today. This would occur because; with the minimum wage law set at $7.25 it is an amount that can be evenly distributed to workers without further education or degree of any kind reasonably. If the minimum wages did increase then everything thing else around would also have to increase the evenly distribute the money going around, therefore limiting the jobs available to those unemployed.

One reason the minimum wage should be increased is because it has not kept up with inflation. Since 2009 alone minimum wage has lost 8.1 percent of its purchasing power. Therefore, the minimum wage should be increased every year to keep up with inflation. Americans should not be loosing more and more purchasing power every year until

Raise the minimum wage would bring about employment misfortunes. It hurt low skilled work is harder to discover an occupation. Minimum wage law expands measurements not lessen neediness. Result In higher Costs For customers, pay must be paid by somebody.

According to, a news article in the Star Phoenix called “Pros and cons of a minimum wage increase hourly” (Tyndall, 2015). Tyndall states that, minimum wage is basically the lowest pay rate employers can legally give their workers. He states that people are not opposed to minimum wage increase but supporters of minimum wage believe that it will help property and opposes believe that the increase of minimum wage will increase property as well as unemployment hurting businesses. Tyndall states that how important income is to survival and having a way of life to support their families as well as their livelihood. A person that has low income or a loss of income could harm their personal health. Due to the fact that they cannot afford health care people who have higher wages can afford healthcare.

Contrary to these beliefs, I believe that raising the minimum wage will not only benefit the company and employee immensely, but overall increase the productivity of workers. The raising of the minimum wage will help these low income families support their families, which decreases the poverty level too.