2007-03-30 05:09:33 · 11 answers · asked by @bstract! 2 in Social Science ➔ Economics
so people can still afford to buy the higher priced stuff.
2007-03-30 05:12:26 · answer #1 · answered by Anonymous · 0⤊ 1⤋
Prices go up regardless of whether there is a raise in the minimum wage or not. There is always a threat of business closures and dramatic price increases, neither of which has happened as a result of giving a modest worker a chance at competing with inflation.
2007-03-30 19:45:39 · answer #2 · answered by Alletery 6 · 0⤊ 0⤋
Uh...maybe to help people keep up with rising prices.
Prices are going up whether they raise the minimum wage or not. Minimum wage should go up at least as much as prices do, from a cost-of-living standpoint.
2007-03-30 12:15:13 · answer #3 · answered by Rayen 4 · 0⤊ 0⤋
Good point. Raising the minimum wage actually causes inflation, further impoverishing those on minimum wage. This is why the monetarists argue that the government should not get involved with wages, since they cause more problems than they solve.
2007-03-30 13:05:42 · answer #4 · answered by Yo, Teach! 4 · 0⤊ 0⤋
Minimum wages are essentially price controls on wages, price controls = higher prices (inflation) and a slower economy (unemployment). That is as simple as I can explain it.
2007-03-30 17:30:33 · answer #5 · answered by John L 5 · 0⤊ 0⤋
from the stand point of helping younger people cover living expenses its a double edged sword, what they have done is make it more competitive for people in min wage jobs because more people are willing to work for the higher min wage than the previous one. now you have people who are older and more experienced vying for the same jobs as a younger less mature person who is starting their days as a working individual. Thta was the argument I brought up when they raised it to $5.15 years ago.
2007-03-30 12:19:17 · answer #6 · answered by asylm03 2 · 0⤊ 0⤋
So people can live! I live in Nevada and it's impossible to live on the minimum wage without help. The only way prices will go down if greedy corporations stop trying to get MILLIONS in profit! Sorry, but we all need food, not just CEOs.
2007-03-30 12:15:22 · answer #7 · answered by Kimmie 3 · 2⤊ 1⤋
that is exactly the point. Minimum wage raises to keep up with the rising cost of living.
2007-03-30 12:12:27 · answer #8 · answered by Anonymous · 3⤊ 1⤋
Government likes it because it increases taxes both ways. The more a person makes, the more they are taxed. Prices go up which gives the government more money through any sales tax.
2007-03-30 12:18:32 · answer #9 · answered by gregory_dittman 7 · 1⤊ 0⤋
The good old Government gets more TAXES
2007-03-30 12:13:07 · answer #10 · answered by asmikeocsit 7 · 1⤊ 0⤋
It makes politicians feel better and look good to the so-called working poor.
2007-03-30 12:13:01 · answer #11 · answered by smoothie 5 · 0⤊ 0⤋