In your view, what are some of the arguments for and against raising the federal minimum wage? Do you think that the federal minimum wage should be raised? Why or why not? If so, by how much? Explain.
2007-01-11 01:08:10 · 6 answers · asked by spit on it 1 in Politics & Government ➔ Law & Ethics
I do not believe that the minimum wage should be increased. In fact I think it should be abolished. Minimum wage increases do not help the poor as is often purported. When minimum wage goes up so to do costs increase. This is because businesses do not absorb the additional cost, but rather pass them along to the consumer. The net effect is there is no increase in standard of living or available funds for those who make minimum wage because increased costs kill the expected surplus in a never ending vicious cycle. Minimum wage was never designed to be a living wage and it will never will be. I think people need to ask themselves these questions. Why am I still making minimum wage? What can I personally do to improve my economic situation? In my experience the average person has no concept of economic principle including supply and demand, Gross versus Net, cost associated with doing business, and pricing to cover those costs in order to maintain a certain profit margin. Instead what they see is, I think I am worth more money and the company should have to pay me more for it.
2007-01-11 01:28:08 · answer #1 · answered by Bryan 7 · 0⤊ 0⤋
I cannot think of ANY reason for it except as a vote buying tool used by lifelong politicians so that they can get re-elected based on the idea that they did what they could 'for the poor'. But for those willing to debate the issue honestly, let's look at the facts.
1 - According to the Dept. of Labor's own statistics, only 2.5 % of workers labor for the minimum wage. These are mostly teenagers and part-time employees.
2 - Increasing the minimum wage hurts them the most because when their labor becomes more expensive, business hires fewer of them.
3 - The 'living wage' argument. Baloney. No one with half a brain expects to be able to live on the minimum wage. If that is the argument, then the minimum needs to be at least 15.00/hr. After all, it's entirely arbitrary what a 'living wage' is.
4 - Last, but MOST important, it is totally unconstitutional for the federal government to establish a minimum wage.
2007-01-11 01:59:19 · answer #2 · answered by mikey 6 · 1⤊ 0⤋
Minimum wage is nearly impossible to live on, but its value is to hopefully inspire a person to try to reach for something better. I guess I always thought minimum wage was for teenagers and first jobbers, not a "career choice" but so many employees and employers use it that way.
I don't think it should be raised because, in my view keeping it low provides an incentive for an employee to strive for better. It keeps the work force moving in an "upward" flow.
Oh heavens I don't know. Frankly I don't think it matters a whole lot except to the business, because minimum wage forces a business to pay a price for people who want to give the least amount of effort.
Inevitably if a person is motivated that individual will give their best effort regardless of where they start and ideally will result in a monetary reward, and inevitably those unmotivated individuals will work their way downward out of a job and on the government dole eventually so no matter what, the unmotivated person is soon being paid for doing nothing.
Minimum wage or welfare.
Bryan spoke to a lot of the issue which is most people do not understand the concept of money flow, and the employee in particular often fails to see the cost of keeping them employed, sometimes to the detriment of the employer.
2007-01-11 01:28:46 · answer #3 · answered by thankyou "iana" 6 · 2⤊ 0⤋
It is the PERSON's fault for making a career out of a minimum-wage job rather than getting educated and either starting a career or a business. The system is Capitalism in this country, but a person who works for minimum wage has chosen Socialism. Putting laws on how much people should make defeats the purpose of our system. People chose whether or not they succeed, not the company they work for.
2007-01-11 01:13:36 · answer #4 · answered by Business Owner 1 · 2⤊ 1⤋
I don't believe in a minimum wage. We should let the market take care of wages. The minimum wage is one reason why it's so attractive to employers to employee illegals.
2007-01-11 01:17:13 · answer #5 · answered by Anonymous · 2⤊ 0⤋
Leave it. Let those that didn't pay attention in school suffer, they earned it.
2007-01-11 01:10:51 · answer #6 · answered by ? 4 · 0⤊ 1⤋