Free economics lesson. Minimum wage increase would...?

Question

Throughout the short exisitence of having a minimum wage, every increase to it has NEVER had a negative effect on businesses.

Why? Because it benefits the very low of our society who need the money; therefore, spend it = it goes right back into our economy = a boost.

We had a minimum wage increase in the 90s and I dont know about you but I sure as heck do not rememeber the economy being punished because of it.

What do you think? (had to put a question with my rant lol)

All of you but one are idiots. The 90s economics boomed because Clinton implemented what is called acPAY AS YOU GO system that Bush immediately stopped as soon as he got into office.

Answer 1

I agree with you, the minimum wage in California is 6.75.
I think Schwarzeneggar was working on something to raise it here but I guess it didn't get approved :/

Answer 2

OK you asked here goes. lol A minimum wage increase has good intentions but it is a bad idea and always has bad results, in the long run. I don't think the government should be involved in private business in the first place. But since they are and we do have a minimum wage then so be it. It was never intended to be enough to sustain a family on, it was put there as an entry level wage so people could gain experience and move up the ladder. The way it works best is the better workers get at their jobs the more productive they are, the more the employer makes the more he has to raise wages. It's a win win situation. Look, the government cannot create or produce anything on its own, it regulates confiscates and consumes all at the expense of the private economy. If a minimum raise of 2.00 an hour is good why not raise it 5.00 or 50.00 an hour? You say that's absurd right? Why? It is consistant with the whole idea of the government waving a magic want to redistribute money so everything will be more equal. It is an artificial way to seemingly help the little guy, when in fact it always ends up hurting the little guy the worse. Your boss has to lay someone off because he can't afford all his employees, that person then has to rely on unemployment for awhile (which we pay) and some useless job -retraining school that didn't help much if at all. There are less jobs for him/her to look for now because everyone had to "tighten" their belts. And the guy who got the raise finds himself paying higher prices for things he needs because folks have to raise their prices in order to pay the higher wages that the government imposed, instead of letting the economy run on it's own. You may have felt good about your little raise for awhile but how long did it last before you were back to square one? Be honest. No,minimum wage hikes are a bad idea the only ones they help are the politicians who cause them because some will say wow he really cares about me lol.And they vote for him again.And the Unions win too, can't forget them. they will say hey dude you have to pay my workers more to keep up with the rise of minimum wage. Then he tells his workers hey I got you a raise so I have to up your dues a bit. ok I shut up now I bet you are sorry you asked now lol

Answer 3

it does increase inflation, and makes a minimum wage as pointless as before the increase, except than the money saved up in the bank is worth even less. The 90's weren't bad because the looming depression period (not the great depression, a much lower one on the scale) was pushed back until after Clinton was out of office.

Answer 4

The reason that there is any opposition to the minimum wage increase at all is simply because it could theoretically hurt small businesses because they wouldnt be able to pay as many employees, on top of that any minimum expenditure imposed by the government supposedly adds to inflation........

however seeing as inflation is almost entirely uncontrolable and that small business owners would most likely be the first to benefit from increased spending power of the lower class these reasons amount to practically nothing.... hope it helps ;)

Answer 5

I agree with the previous answers. It's risky always to increase it. It may have the good effects you told
OR
it can make go the small enterprises go bankrupt and make the big ones leave the country, not to mention inflation.

Answer 6

It would increase inflation and in some cases cause smaller businesses not to be able to hire as many employees.