Minimum wage dles nothing but keep the poor poor lust what the liberals want
tapatalk post
There's truth to that:
"President Barack Obama and fellow Democrats have asserted the need for a $10.10 per hour minimum wage. But a new study suggests that such an increase could have adverse consequences on the very population such an increase seeks to mobilize.
As part of a study from the Employment Policies Institute, Dr. Joseph Sabia, a professor at San Diego State University, analyzed data from the Census Bureau to examine minimum wage increases in instances where the economy is thriving and in a recession. When examining data from 1990 and 2010 the last three minimum wage increases Sabia found that a 10 percent increase in the federal minimum wage has a substantial affect on less-educated young workers, with employment reducing as much as 2.3 percent.
Minimum wage increases fail to reduce overall poverty rates or to reduce the poverty rates among workers, Sabia said Thursday at a panel hosted by American Action Forum and the Employment Policies Institute.
President Obama issued an executive order Tuesday to raise the minimum wage for those working under federal contracts to $10.10 per hour, a 40 percent increase from the current level of $7.25 per hour. And a bill introduced by Rep. George Miller (D-Calif.) and Sen. Tom Harkin (D-Iowa) last year would raise the federal minimum wage to the same level. The proposal is one supported by many Democrats who feel that raising the minimum wage would help lessen income inequality and lift many out of poverty.
Americans are hard working and the productivity has soared, but their paychecks have not kept pace, House Minority Leader Nancy Pelosi (D-Calif.) said in a speech earlier this month. Stagnant wages and widening income inequality is hurting families, holding back our economy and eroding the basic American principle of respecting work.
Pelosi, continued, saying raising the minimum wage to $10.10 an hour would give a long overdue raise to 28 million hardworking men and women, create 85,000 new jobs and lift more than 4.5 million Americans out of poverty.
But Sabias findings speak to the contrary.
He found that an increase in the federal minimum wage does little to help those living in poverty. As cost for low-skilled labor increases with a minimum wage increase, hours for workers can be cut and jobs lost. Additionally, such an increase raises the price of goods for consumers and could cause companies to look toward technology to take the place of human beings. For example, instead of employing workers as cashiers in a grocery store, businesses may turn to self-checkout lanes instead.
..."
Study finds minimum wage increase hurts young, poor
HOnestly you're right as middle class people turn into lower class people there will be less demand.
