Raising Minimum Wage

A very controversial yet interesting issue today in the United States is minimum wage if it should be increased or not. While some want to raise minimum wage to the living wage, minimum wage should not be raised because it increases teen unemployment, increase of Cost of goods/services,and Cut back on work hours. One reason Raising the minimum wage is a bad thing is because it leads to lower unemployment for vulnerable low skilled workers. new academic study, University of Waterloo finds 10 percent increase in the minimum wage leads up to 4 percent drop in teen employment.which in short terms is people without education dont have incentive to get a education because they are getting 15$ dollars an hour without education.. 20 canadian studies published in academic journals dating back to 1979 produced a clear consensus minimum wage hikes reduces employment.Just as consumers tend to buy less if the price of a product increases, employers will hire fewer workers and/or reduce labour costs if government regulations make it more expensive to employ workers without corresponding improvements to

This means, in practice, fewer jobs.Alternative research strategies do show job losses. Consider a 2014 study by Jeffrey Clemens and Michael Wither on what happened when the federal minimum wage was raised from $5.15 to $7.25 in the late 2000s. Rather than crossing a border, they compared groups of workers within each of the affected states. The first group included those who were paid the very lowest wage, on whom the new minimum was "binding." The control group included workers earning slightly above the minimum. The study estimated that the new federal minimum had