3.22.2013
published March 20, 2013
by Lynette Adams
WHEC
This article is says minimum wage should not raise. People thinks raising minimum wage is needed to help those who earn minimum wages. However, there are people says it will harm more than good. History supports this opinion. According to the Employment Policies Institute, "history shows us that raising the minimum wage hasn't helped ease poverty or put money in the pockets of people who are the poorest in our society". Saltsman says if minimum wage increases, it will be herder for businesses to hire and train workers. So this article suggests to find other way instead of rising minimum wage if you really want to help people who are in real hard situations.
I agree with this opinion, because when minimum wage, the input cost, increases, supply decrease. Also then, equilibrium price will increase. As its price increases, consumers may think that it is time to find other supplementary products, then the owner will eventually close his or her business. Then, it will led to decreasing jobs, and finally unemployed person will increase. I'm pretty sure real poor people will be there. And if so, setting minimum wage to help employee will finally kick them out. So if government wants to help people who live by minimum wage, they should find other way to help.
I agree with you. Raising minimum raise might help some people who actually get hired, but for the majority, it would be detrimental, as the employers would seek less and less people to hire in order to save money.
답글삭제Yes, because of increase of minimum wage, equilibrium price will increase eventually, and it may cause problem or difficulties to the poor.
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