The United States has had a federal minimum wage since the year 1912. Massachusetts was the first state to institute a minimum wage, with eight more states following in 1913. At this time, the minimum was unbelievably low by today’s inflated standards: a measly $0.25. The cost of life has caused the minimum wage to increase over the years seven dollars, bringing it now to $7.25. President Obama has been pushing to raise the minimum wage to $10.10 an hour, but doing so would increase poverty and unemployment, and cause small business and fast food industries to suffer a huge decline in consumers. More money is not always the answer; it can sometimes make the predicament worse.
Thinking that raising the minimum wage would bring people out of …show more content…
He has pushed for it since the beginning of his presidency. The president wants to bring it to $10.10, but realizes that will never happen; he pushes for $9.00. He also wants to tax the upper-class more to redistribute wealth. Instead, this would only keep the economy from developing (Epstein). A more realistic solution would be reducing income tax and to remove the restrictions on job markets. If the company can produce more and do so steadily, the wage could increase without hurting the economy …show more content…
Minimum wage causes workers to protest. They feel their work deserves more than they are receiving, but do not realize more money means more problems. The set wage keeps them from being able to afford clothes and food, but they still would not be able to with a few more dollars when the clothes and food also cost a little more. Also, by having a set amount employers are required to pay, can make them angry if it is too high. Employers often feel their employees are not worth the money they make now, so if their pay must be increased, the employers may fire those they think perform poorly (Armstrong). They will furthermore keep the wages in mind when hiring and only hire very few (Armstrong). This thought in addition to the fact that the unskilled will already be considered last for minimum wage jobs, proves that this idea is hurtful to poor
Thinking that raising the minimum wage would bring people out of …show more content…
He has pushed for it since the beginning of his presidency. The president wants to bring it to $10.10, but realizes that will never happen; he pushes for $9.00. He also wants to tax the upper-class more to redistribute wealth. Instead, this would only keep the economy from developing (Epstein). A more realistic solution would be reducing income tax and to remove the restrictions on job markets. If the company can produce more and do so steadily, the wage could increase without hurting the economy …show more content…
Minimum wage causes workers to protest. They feel their work deserves more than they are receiving, but do not realize more money means more problems. The set wage keeps them from being able to afford clothes and food, but they still would not be able to with a few more dollars when the clothes and food also cost a little more. Also, by having a set amount employers are required to pay, can make them angry if it is too high. Employers often feel their employees are not worth the money they make now, so if their pay must be increased, the employers may fire those they think perform poorly (Armstrong). They will furthermore keep the wages in mind when hiring and only hire very few (Armstrong). This thought in addition to the fact that the unskilled will already be considered last for minimum wage jobs, proves that this idea is hurtful to poor