How making minimum wage $15 ends up hurting more people than helping!!

[healthmyths]

Just the facts folks...not my words... but experts...

A new study published by the American Action Forum and Manhattan Institute finds that boosting the minimum wage nationwide to $12 or $15 would end up hurting many of the people it aims to help.
Yahoo Finance has an exclusive first look at the research, which finds that a Federal minimum wage increase to $15 per hour would cost the economy 6.6 million jobs and that only 6.7% of the extra
$105.4 billion in new wages would go to people in poverty.

“It’s a strange story,” says Holtz-Eakin. “We have somebody who otherwise would have been hired and they don’t get a job.
The person who keeps their job gets a raise so we’ve essentially taken the money from somebody who is out of work and given it to somebody who has a job.”

Holtz-Eakin believes that over the long term, companies would find ways to permanently scale down their labor force by automation, outsourcing and demanding an increase in productivity.

A 15 minimum wage could hurt those it s meant to help - Yahoo Finance

 

[Bombur]

$15 is too much. The min wage can be an effective tool of improving the lives of the poor and making less of them dependent on government handouts but a large increase in a short period of time will create a price shock which is bad for the economy, especially in the short run. I think 10 to 15% in a given year would be close to the limit of what you would want to do but you also can't do big increases every year.

The min wage is one of those things you can't just ignore. It has to be constantly growing with inflation.

 

[healthmyths]

$15 is too much. The min wage can be an effective tool of improving the lives of the poor and making less of them dependent on government handouts but a large increase in a short period of time will create a price shock which is bad for the economy, especially in the short run. I think 10 to 15% in a given year would be close to the limit of what you would want to do but you also can't do big increases every year.

The min wage is one of those things you can't just ignore. It has to be constantly growing with inflation.

Why? If almost all the wage earners are kids that live with their families why?
Again look at the statistics...

As Gruber said because of the "Stupidity of the American Voter" most uninformed voters that voted for Obama don't seem to know that:
In 1979 6,912,000 or 13.4% of all hourly workers worked at minimum wage of the total hourly workers of 51,582,090

In 1989 3,162,000 or 50% LESS working at minimum wage of the 62,000,000 people working at hourly wage

In 2009 there were 3,572,000 people working at minimum wage of the total work force of 72,897,959 at hourly wage or 4.9%

Finally in 2013 there were less then 3,300,000 working at minimum or 4.3% of 76,744,186 that work at hourly.
AND of the 3.3 million working at minimum wage:
1) Among employed teenagers paid by the hour, about 21 percent earned the minimum wage or less, compared
2) with about 3 percent of workers age 25 and the remaining at age 16 to 24 years,1,797,000 at or below minimum wage.
Tables 1 - 10 Characteristics of Minimum Wage Workers 2012

BUT by raising minimum wage you will be putting these people out of work thus increasing unemployment.
The youth unemployment rate was 14.3 percent in July 2014.
Employment and Unemployment Among Youth Summary

 

[Remodeling Maidiac]

The cost of everything would increase including other salaries. For most people it would be a wash in the end. The poor will remain poor however as the cost of all of their goods will increase along side their income.
It is a pointless debate

 

[healthmyths]

The cost of everything would increase including other salaries. For most people it would be a wash in the end. The poor will remain poor however as the cost of all of their goods will increase along side their income.
It is a pointless debate

As I quoted the experts...
“It’s a strange story,” says Holtz-Eakin. “We have somebody who otherwise would have been hired and they don’t get a job.

The person who keeps their job gets a raise so we’ve essentially taken the money from somebody who is out of work and given it to somebody who has a job.”

Holtz-Eakin believes that over the long term, companies would find ways to permanently scale down their labor force by automation, outsourcing and demanding an increase in productivity.

 

[Remodeling Maidiac]

The cost of everything would increase including other salaries. For most people it would be a wash in the end. The poor will remain poor however as the cost of all of their goods will increase along side their income.
It is a pointless debate

As I quoted the experts...
“It’s a strange story,” says Holtz-Eakin. “We have somebody who otherwise would have been hired and they don’t get a job.

The person who keeps their job gets a raise so we’ve essentially taken the money from somebody who is out of work and given it to somebody who has a job.”

Holtz-Eakin believes that over the long term, companies would find ways to permanently scale down their labor force by automation, outsourcing and demanding an increase in productivity.

Yup.

 

[Bombur]

$15 is too much. The min wage can be an effective tool of improving the lives of the poor and making less of them dependent on government handouts but a large increase in a short period of time will create a price shock which is bad for the economy, especially in the short run. I think 10 to 15% in a given year would be close to the limit of what you would want to do but you also can't do big increases every year.

The min wage is one of those things you can't just ignore. It has to be constantly growing with inflation.

Why? If almost all the wage earners are kids that live with their families why?
Again look at the statistics...

As Gruber said because of the "Stupidity of the American Voter" most uninformed voters that voted for Obama don't seem to know that:
In 1979 6,912,000 or 13.4% of all hourly workers worked at minimum wage of the total hourly workers of 51,582,090

In 1989 3,162,000 or 50% LESS working at minimum wage of the 62,000,000 people working at hourly wage

In 2009 there were 3,572,000 people working at minimum wage of the total work force of 72,897,959 at hourly wage or 4.9%

Finally in 2013 there were less then 3,300,000 working at minimum or 4.3% of 76,744,186 that work at hourly.
AND of the 3.3 million working at minimum wage:
1) Among employed teenagers paid by the hour, about 21 percent earned the minimum wage or less, compared
2) with about 3 percent of workers age 25 and the remaining at age 16 to 24 years,1,797,000 at or below minimum wage.
Tables 1 - 10 Characteristics of Minimum Wage Workers 2012

BUT by raising minimum wage you will be putting these people out of work thus increasing unemployment.
The youth unemployment rate was 14.3 percent in July 2014.
Employment and Unemployment Among Youth Summary

Minimum wage establishes a baseline for all low end employment so simply looking at the people working at min wage doesn't tell the whole story.

Claims that it will lead to less employment largely depend on the markets ability to absorb the shock in price. Prices change all the time and sometimes in uneven ways and markets adjust. If your concern is employment then it is far better to increase the min wage by a smaller percentage in any given year.

If you simply don't care about these people working in poverty then none of this matters at all so there is no point in having the conversation.

 

[NYcarbineer]

$15/hour doesn't hurt the people who earn it, who were earning less.