why good to increase minumin wage in usa ?

Question

i need to know why its good or bad
and the advantages if the minumin increase

Answer 1

It panders to the lower class...

It's debatable whether it will help those minimum wage workers.

First, there will be an upward pressure on prices because the producers cost has gone up and that will eat up some if not all of the increase that the worker got.

Second, if there are pressures on prices to stay the same the producers will then decide that a worker at 5.15 is not worth 7.25 and just reduce headcount of the ones that don't produce 7.25+ worth of value.

Answer 2

It gives a temporary (very temporary) increase in wage vs cost of living to those who are being paid minimum wage. Then the cost of living goes up because of the increase. Then all the people who earn more than minimum wage need a raise to deal with the increased cost of living. Unemployment increases because many minimum wage earners simply aren't worth the cost of hiring them. The dollar goes down in value against other currencies in the world. Employers hire more illegal alians (who can be paid what they are worth). The alians destroy the economy by collecting free benefits paid for by tax payers. Taxes are increased, producing more need for the middle class to get a raise. The decreased value of a dollar creates problems for American companies conducting world trade, leading to more unemployment. Startup companies close because they can't find affordable labor.

minimum wage = long term inflation + unemployment + increased illegal immigration + weakened dollar while providing an income/expenses ratio increase for poor Americans for a maximum of a couple of months. It was stupid the first time it was done. It is stupid now.

In case I didn't explain the advantage well enough, the raise will put a little extra cash in the pockets of minimum wage earners from the time it goes into effect until the cost of living swallows up the increase (If they manage to keep their job). Some would argue that the political gain of some people who are voting for such things is an advantage. I would argue that an increase in political power to people so stupid as to vote for a minimum wage increase is a distinct disadvantage to all Americans.

Answer 3

Most union collective bargaining agreements are based on the federal minimum wage, so when it goes up, then the pay rate of their members automatically rises. This has a huge impact on the economy in all sorts of places, including on state and municipal governments who are typically heavily unionized, putting even more pressure on their budgets.

Its noteworthy thay Pelosi has exempted American Samoa from the min. wage increase. The largest employer on the island has its HQ in her district and the representative of Am Samoa has stated that the increase in the min wage would devastate the fishing industry there. It appears that Pelosi (privately) acknowledges that there is a negative impact to min wage increases...

Answer 4

The minumin wage has not been increased for many years. Unfortunately, the cost of living has increased. Poverty abounds-working class poverty, where people can't afford normal services, medical, dental, decent housing to name a few. Also, it is making the divide between middle class and poverty class less.

Answer 5

The steady rise in the cost of living makes living on minimum wage impossible. But raising it causes a couple of BIG problems:

A raise in minimum wage often results in a decrease in benefits - health care costs either rise or are eliminated, for example.

It can be a burden to small business who are already operating on a small margin.

The offsetting factors are simple and I am angry the Congress didn't act. Give tax breaks to business to help pay for the rise in the minimum wage. Simple as that. It puts the onus on the government to absorb the cost, not business and if we are serious about deficit reduction, this lost tax revenue will be made up in spending costs. It seems to be a win -win idea for me.

Answer 6

i have lived through several of these increases, and every
time the cost of living goes up enough that those at the
minimum are still in the same shape. in the real world
there will always be small potatoes at the bottom of the
basket, and paying more for them doesn't keep them
from being small potatoes.

Answer 7

so people who earns minumin wage for a living can sustain their buying power despite inflation.

Answer 8

I'm not for it; the cost of this will at some point be passed on to the consumer, usually the ones who got the raise in the first place.

Answer 9

it makes ppl who are lazy work. not only that it makes everyone happy

Answer 10

You don't think you could do more with more money? PLEASE!!!