Most kids learn from their parents from a very young age that in order to earn anything you have to work hard for it. For example, if you wanted to buy a new bike you had to shovel some snow in the winter, or cut the neighbors grass to get some money for a new baseball bat, whatever the case may be children work hard at young ages to get the things that they want. But, we all know that one spoiled kid who gets everything he wants at the wave of his hand. All the other kids wonder why is he so lucky and why can’t I get things as easily as that little boy? All of that shoveling and grass cutting seemed meaningless because that one kid just had it given to him for sitting around and being lazy. That’s what society is starting to become more and …show more content…
Prices of goods and services are already increasing much faster than they should be. “ A cup of coffee for example, could increase 10-20%,(“Minimum wage pro-con.org”1)” procon.org stated. Ten to twenty percent is outrageous, imagine if everything costed that much more nobody would be able to afford anything. They also later stated a fact that they had heard from companies, “ Food product could be reduced up to 70% in size, (“Minimum wage pro-con.org”1)” that would be like ordering a burger now for the same price and only getting a tiny slider instead, that definetly is not a benfit by any means. Procon.org also found out, “According to a survey done by the University of Purdue if the minimum wage was increased between 15-22 dollars would increases prices from anywhere to 4.3% price increase to 25%” (“Minimum wage pro-con.org” 5). That's hard to wrap your head around, even at the low end of a 4.3% price increase that would be outrageous, not to mention it could be …show more content…
All havoc would break loose, hundreds of thousands of jobs will be lost due to the huge spike in inflation. Just imagine the cause that all of these low wage workers are fighting for will just end up harming them and so many more than they believe. Including the bankruptcy of so many outstanding small businesses. All of the enormous monopolies that we took so long to destroy will become a reality again because there will be nothing left except the billion dollar big businesses. People just need to accept how the economy works now or they can fight for something that do not know the harm it can
The minimum wage debate has been a hot topic over the past year, especially with the Presidential Election. This is a divisive topic that people rarely agree upon. There are essentially two sides you can take when it comes to this argument. Either people are for minimum wage or are against raising, or even having, a minimum wage. Proponents of the minimum wage are typically politicians who are lobbying for the vote of the people who feel that a minimum wage is critical to their wellbeing, and those who sympathize with people who earn “minimum wage”. Minimum wage is destroying America’s free market economy and someone needs to take action and find a better solution to this problem. Without anyone acting on this problem now, it can potentially be worse in the long run. Raising the minimum wage in the United States will do more harm than good to society because of the long-term effects.
The United States economy is still soft and prone to falling apart, and there is a debate that is on going as to whether the minimum wage should be increased or decreased. The minimum wage is a well known price floor, and that is what we need for our economy right now . I personally believe that we should not increase the minimum wage, but decrease it instead. I would rather have the minimum wage lowered than increased because that will only lead to negative side effects. For example, if the minimum wage is increased then the government will need to mint more money and the effect of minting more money is inflation. This will cause the American dollar to go down and worsen the economy even more. Another thought is that what the United States needs now are jobs. If the minimum wage is increased then existing jobs will want their workers to have more experience and for those people that are in dire need to a job will have a lower chance of getting the job because they
Increasing the minimum wage causes middle class Americans have less money in their pockets to spend. Representatives of both businesses and charities have almost unanimously stated that they will be forced to reduce their hours and staff size to conform to the wage increase (Englander). The risk of getting laid off or getting your hours cut because of a wage increase is ludicrous, considering said increase is meant to benefit those same people. San Francisco has recently increased their minimum wage to $15 an hour, and is starting to struggle to support it. The number of households in the area earning less than $25,000 a year is steadily growing,
According to Jerome Fin minimum wage even at the federal level costs jobs ( Rotson 1). If a recession comes, higher wages will mean more layoffs (Alper 1) Although, this may not happen are you willing to risk it all? If a continuous amount jobs are lost not only will the lower class be affected ,but so will the middle class and upper class. “I feel every minimum wage, even at the federal level costs jobs”(Roston 1). Senate Minority Leader Mitch McConnell says “ The minimum wage is largely an entry - level wage and raising it to ten dollars and ten cents an hour would lead to destroying jobs for young people”(Raasch 16). After, Seattle raised their minimum wage to fifteen dollars an hour major problems started occurring. Adam Ozimek says “First wave of minimum wage increases appears to have lead to the loss of over one thousand one hundred food service jobs in Seattle's” (Puzder
(http://money.cnn.com/2009/01/09/news/economy/jobs_december/) Today, the minimum wage is $9.00 per hour but on January 1, 2016; the wage is going to increase $11 per hour. Some people believe that the solution to this problem is to automatically raise the minimum wage, however doing so would have a profound impact in a negative light on the United States’, businesses, and the
The federal minimum wage needs to be increased to keep up with inflation. Most wages are increased to keep up with inflation, but those at minimum wage tend not to see one so the employer can cut costs. Fortunately, some states have already fought this by raising their minimum wages to keep up with the cost of living in that area. If the minimum wage was changed with inflation, it would have been $11.16 in January of 2016 (“Should the Federal”). The lack of wage raises, along with the reduction in purchasing power, greatly affects the poor. Obviously, they have much less money to begin with; taking anything away from the poor hurts them greatly. According to Senator Bernie Sanders, “Since 1968, the minimum wage has lost more than 25 percent of its purchasing power (“Should We Raise”).” This loss in purchasing power will only continue. Inflation always
The federal minimum wage law was signed in 1938 by President Franklin Roosevelt in order to keep people out of poverty and increase consumer purchasing power. This has done the opposite by hurting businesses and reducing employment, while minimum wages go up, so will the costs of living. Most of the people working for minimum wage are 16 between 24 years old, 37% of workers are going to school working part time. Enrollment tuition has increased over the years, and raising the minimum wage could mean further increasing expenses. But, for people who aren 't pursuing an education and begin working right out of school, the federal minimum wage $7.25 looks like it can be hard to live on. Raising the minimum wage would most likely increase with the cost of living, making cost of living or tuition even more expensive, making it harder to pay for groceries or bills. Just because someone starts out at a minimum wage job, doesn 't mean they can 't progress through the company and earn a better wage over the years. Minimum wages are more for entry level paying jobs that don 't require any certain set of skills to be able to do what they ask. Maintaining the current federal minimum wage of $7.25 will help stop rise of inflation.
Minimum wage is currently a very heavily debated topic. Many are in favor of raising the current national minimum wage of $7.25 to a more livable wage; suggestions for this increase are anywhere between $9-15 per hour. While the minimum wage has been raised several times throughout the years, it has not been kept proportional to raises in inflation which has led to a decrease in the amount of goods that people are able to buy with those wages, in turn making their economic lives more difficult. Those that are trying to live and survive off of minimum wage are naturally most concerned with this issue as it greatly impacts their life and well-being, however, it is also an issue that concerns the whole nation as raising the minimum wage could end up in higher tax rates or higher prices by way of inflation.
Recorded in 2015, average living wage has been recorded at $11.87, as the minimum wage would’ve been if Congress had adjusted it for inflation over the past 35 years. While $7.25 may not seem that bad, when factoring some general expenses. Giving into consideration for the general public the biggest reason the minimum wage should be increased is the dramatic heights which gas prices have been shooting up again. Due to our national situations, gas prices have risen to nearly three dollars a gallon. Say one person were making the minimum wage amount third of their money goes to their gas tank. Unless such person lived precisely close to their job, it’s proven to be very costly. About 7.3 million personnel in the United States would value from an increases in the minimum wage. Almost 5,256,000 of those individuals, around 72%, are authorized drivers that could desperately use financial assistance with the rising prices and inflation. “The federal government is not living up to its responsibility so the states are acting,” (Senator
A recent study at Purdue University showed that if minimum wage is increased to fifteen dollars an hour, which is what a lot of the people want, then the prices of goods will go up 4.3 percent (McClure). They also determined that if it went up to twenty-two dollars an hour then there would be a twenty-five percent increase in prices (McClure)
Tony, you talked about some great ideas and information that you found during your research. I like the fact that you brought up the business issues that could possibility arise. I do strongly believe that it could become an issue especially since our economy changes from one state to another constantly. I truly believe that small and local business would be drastically affected by this change and increase. I would also have to say that increasing minimum wage would probably lead to increases prices due to companies feeling that everyone should be on the same page. Since they are aware of minimum wage increasing it would be thought that increasing price would not harm anyone because Jack who was making $7.25 last year is making 14.50 this year
The most prevalent and steadfast myth surrounding the raising of the federal minimum wage is that it will doom the economy. This might seem logical at first, but just think about it for a second. Why do minimum wage employees need more cash? The answer is simple: To spend it, to buy the things that they and their families need to survive. “Most minimum wage workers need this income to make ends meet and spend it quickly, boosting the economy. Research indicates that for every $1 added to the minimum wage, low-wage worker households spent an additional $2,800 the following year” (Fair). Furthermore, EPI estimates that if the federal minimum wage were raised to $10.10 an hour, it would result in over
Some argue that if an increase in minimum wage is passed businesses will raise the prices of goods and services to help compensate the cost of pay raises. The cost in goods and services is already on an increase due to the high host of gas/oil, yet we are
Unfortunately, the economy does not always function the way people hope it would. For one thing, if the minimum wage increase then employers might also increase their prices in order to compensate their employees with the new minimum wage. This may perhaps trigger the ripple effect as known in economics. The ripple effect functions the same way as the domino effect. One thing affects another, and that other thing affects another, and so one. In this case, a simple shop that once made enough income to pay all of the employees a lower wage will have the luxury to charge less for an item and thus bring more customers. However, if the government forces that shop to pay more then they must find a place where they can generate that money to pay their employees extra and slowly but surely their prices must increase. This will result in creating yet another higher standard of living and ultimately another cry for a minimum
The cost of living in the United States has gone on a rapid increase over the past few decades, and with it also being at an all time high we must avoid any increase in in consumer price goods in America. The Federal Reserve Bank of Chicago claimed that if minimum wage were increased fast food chain and other firms alike would pass on almost 100% of the increased labor costs onto customers(ProCon, Con 4). This means that the prices of all the items on the menu would increase. There would no longer be the well known and loved “Dollar Menu” because the items would no longer be a dollar. A Purdue study also predicted that a minimum wage increase from $15-$22 for fast food employees would result in result in a price increase of 4.3% and 25% respectively and a size reduction between 15 - 20% (ProCon, Con 4). So if minimum wage is increased to $15-$22, a burger from a fast food restaurant could cost up to 25% more and be up to 20% smaller, with this being the result, even the largest income companies can not keep up with the labor increase resulting in them inflating. The effects have already taken their toll in Oakland, California. NBC News recently found out that when the minimum wage was increased by 36%, the price of coffee rose by 10-20% (ProCon, Con 4). Although minimum wage in 1968 was $1.60 which is equivalent to $11.16 today(ProCon, Pro 4), the reason it is worth $11.16 today is because we as a