Increasing Minimum Wage Essay

Arguments For Raising the Minimum Wage

Increasing the minimum wage helps the economy or had no apparent effect on it.

Card and Krueger Study- These sociologists performed a study to try and show that raising the minimum wage had no effect on the economy or actually helped it.

I would use their study for statistics and evidence.

The wealth should be distributed evenly and laws should be put into place to do this in our society.

Large businesses acquire a large amount of profit. When the minimum wage is increased laws would be put into place to force these companies to distribute their wealth evenly to their low-wage workers.

In my essay, I plan to explain this concept further with examples as support.

Social welfare for minimum wage workers.

Studies show the minimum wage is not the same as

The state average is higher than the minimum wage requirement set by the federal government.

Basically, the states see such a need to increase their employees wages, they increased their pay more than the minimum.

Arguments Against the Increase of Minimum Wage

Unemployment

As the price of labor goes up, the demand for labor will decrease as well.

Since companies are spending more money on their employees, they will be more likely to lay them off and not hire new workers.

Humans might be replaced with machines because they are cheaper and more efficient.

For example, a company could raise the minimum wage for 50 workers, yet lay off 20. These 20 people are now out of work, but businesses are less likely to hire due to the decreased demand.

Who does raising the minimum wage affect?

Studies show mostly young adults.

Some of these workers are tipped as well, like waitresses.

The purpose of this law is to help poverty, not teenagers who want extra cash.

Increasing the minimum wage is not best or the most effective way to help the poor.

Earned income tax credit

This reduces or eliminates the federal income tax on the less