Essay on Minimum wage

Submitted By raveygravey97
Words: 601
Pages: 3
Open Document
Santiago
26 February 2014
Not the Time to Raise In 2007, an experiment was conducted in American Samoa where they increased the minimum wage to the equivalent of the U.S. minimum wage. It did not boost purchasing power, instead unemployment stipulated to more than 35%. Minimum wage is the talk in the white house and capitol buildings across the nation. Although raising minimum wage could help reduce poverty, the government should not raise the minimum from $7.25 to above nine dollars because it is guaranteed to create more jobless Americans and the cost of living will go up due to inflation. If minimum wage were to raise one guaranteed effect would be more jobless American’s. Last time minimum wage increased, in July 2009, Neumark estimated a loss of 300,000 jobs. David Neumark is an economist and professor of Economics at the University of California. Once companies have to pay more for a single employee they will look elsewhere. Such as outsourcing; going to other countries for labor at a cheaper somewhat more efficient price. Why keep paying a stacking rate for one person when you can pay one lump sum for a robot? This is the age of technology. Companies have already started replacing humans for robots due to cost and efficiency at the current minimum wage level. Almost doubling the minimum will give them that push to go all robotic leaving Americans jobless.
Due to inflation, the cost of living will go up if workers hourly wage is increased. Inflation is the increase of general price level of goods and services in the economy over a certain time period. When prices rise the value of the dollar decreases. Assess the theory of cause and effect; increasing minimum wage would mean companies would have to pay more for their low skilled employees, in order to compensate for the loss of cash, due to the cost of one employee increasing, companies have to raise the price of their product. McDonalds, for example, doubling workers’ wages would raise total cost 25%. The dollar menu would no longer exist and raising the prices would drive the customers away. Some people say raising minimum wage will reduce poverty. Evidence shows that workers at Wal-Mart superstore each receive about $5,800 worth of safety-net benefits annually: by raising minimum wage shoppers will pay that
Show More

Related Documents: Essay on Minimum wage

The Minimum Wage

Minimum wage is an amount an employer must pay their workers for their labor however, it may not be enough for living essential. Workers may work paycheck to paycheck to meet financial needs and is still insufficient to support their selves. Minimum wage employment is an understatement due to the fact, as workers bussed tables, mop floors, answer to rude customers or even clean filthy bathrooms for tiny paychecks. Minimum wages have caused many workers to take on multiple jobs just to be financially…

Words 298 - Pages 2

Low Wage Minimum Wage

Zhihang Chen Wage is a very important part of our living in general.We’ve always been working hard to get better live for ourselves or families.Most people believed the harder we work the better life we get. However, from reading the novel “ Nickel and Dimed” by Barbara Ehrenreich and the documentary “Waging a Living” people were not getting better life when they working more hours.So, how does anyone live on the low wages available to the unskilled? In the world we live in today, the very basic…

Words 883 - Pages 4

Raising Minimum Wage

the past few years, American citizens have been advocating a raise in minimum wage because the current amount they are making at minimum wage is not enough for them to live and survive on in this inflation-based world we live in now. As with any situation, there is always two sides to the argument, both of which believe they are right. On one side, Americans believe that raising minimum wage is the solution to their problem of not having an income large enough to support themselves and their families…

Words 1596 - Pages 7

Minimum Wage Benefits

Higher Minimum Wage; Lower Benefits The national debate over raising minimum wage stems from the need that a raise in minimum wage will provide families with enough money to earn a living wage. A living wage is a wage that provides an individual with sufficient earnings to live above the poverty line. The federal minimum wage was established during the Great Depression and has since risen from 25 cents to what it is currently at $7.25 an hour (Wihbey p.1). The federal minimum wage is the lowest…

Words 2008 - Pages 9

Minimum Wage Essay

Minimum Wage ENGL/112 Latonya Lee Linda Record Minimum Wage Minimum Wage is in every working place. Some company’s minimum wages are determined based on the state they reside in, while others are just based on what the company feels like paying. Each workplace offers a different amount of pay, however the employees do their best to accept each offer respectfully even when they don’t agree on it. Minimum Wage is beneficial, despite the fact of it being such low pay, because…

Words 702 - Pages 3

Minimum Wage Essay

December 2010 ENG 1101 Minimum Wage Increasing the minimum wage has sparked a debate across the nation. To raise the minimum wage or to keep it as is, is the question that has been raised. Many people propose that increasing the minimum wage will benefit the economy, but this does not prove to be necessarily true. Increasing the minimum wage has, in fact, cost this nation more than it is benefiting it. One must not overlook the various effects increasing the minimum wage has on the economy. Yes…

Words 804 - Pages 4

Raising Minimum Wage

Some, however, think that the minimum wage should not be increased. The phenomenon that is ‘raising the minimum wage’ is relatively new and often times people and cities are uneducated and are unaware of the full effects of raising the minimum wage. “The fight for 15 dollars is a relatively new phenomenon” (Saltsman, 2017, p. 2). Because this is a new problem for America, it often leads people to believe it is in everyone's best interest to raise it, however it could lead to extreme consequences…

Words 676 - Pages 3

Minimum Wage Dbq

Minimum wage is the lowest possible amount of money someone can be paid at an hourly rate. Currently the federal minimum wage is $7.25 an hour, but it does vary state to state, with the highest being $16.28 and the lowest being $5.15 plus tips. This Federal minimum wage has not been raised since 2009, over 15 years ago. The inflation rate since then has been 42.98% and 7.25. It is now worth about $10.37. So the question is, should the Federal minimum wage be increased? Yes, we should raise the minimum…

Words 1221 - Pages 5

Minimum Wage Increase

off of $7.25 an hour or less. Minimum wage is an unbelievably low amount ,and seems unrealistic for anybody to live off. The minimum wage is slowly increasing in certain states ,but not in all and it is not always increasing to a feasible amount. With this in mind minimum wage in the U. S needs be raised to at least $15 per. hour for a various number of reasons that could affect us all in a very positive way. Although some may argue that with an increase of minimum wage comes an increase in taxes throughout…

Words 507 - Pages 3

Minimum Wage Benefits

abilities that are most likely to be needed for higher paying jobs. Workers are not held to earning the minimum wage for as long as many might think. Oftentimes they do not hold these positions for long before they have developed a higher level of productivity and are rewarded with raises and promotions. If used properly as a method for gaining experience and increasing personal efficiency, minimum wage jobs serve their purpose and should be considered a valuable asset to…

Words 1840 - Pages 8