The Bare Minimum “The set minimum wage in the United States has been a controversial issue since it was established in 1938”(Belman). Minimum wage laws set the lowest hourly rate an employer can pay an employee; occasionally, it is adjusted for certain circumstances such as waiting tables. The current Federal minimum wage is set at $7.25 per hour. Recently, employees of fast food chains such as McDonalds, Burger King, and other popular fast food restaurants have been trying to get the minimum wage increased to $15 per hour. Although there are plenty of people who think $15 an hour is a reasonable wage, there are those who feel there are plenty of economic reasons why the minimum wage could never be set that high. In 1934, Henry Ford wrote
…show more content…
Individuals must understand that raising the minimum wage increases the amount of money in the hands of low-income consumers. As low-income consumers gain an increase in their monetary withholds, the economy would gradually see an increase in consumer spending. This Increase in consumer spending strengthens the economy without increasing the cost to taxpayers. The U.S. Bureau of Labor Statistics shows that millions of people are willing to spend their careers at many of these considered low income jobs. For example, people such as high school dropouts or even felons, working at low-income jobs may be their only option in life. Increasing the minimum wage would reduce turnover rates and keep millions of Americans with job worth working for. Gradually the economy would see a decrease within the United States unemployment rates. …show more content…
They believe that that young adults “need the experience” of working at the minimum wage. If an individual was to look at the youth “unemployment rate in Germany is 7.8 percent, and in Switzerland, it is 8.5 percent. On the contrary, youth unemployment is 15.5 percent in the United States. Nevertheless, both Germany and Switzerland have higher minimum wages than the United States, but both have much lower youth unemployment rates. Germany and Switzerland’s overall unemployment rate are also lower: 4.5 percent and 3.4 percent, respectively. The minimum wage makes no difference on youth unemployment”
Individuals must understand that raising the minimum wage increases the amount of money in the hands of low-income consumers. As low-income consumers gain an increase in their monetary withholds, the economy would gradually see an increase in consumer spending. This Increase in consumer spending strengthens the economy without increasing the cost to taxpayers. The U.S. Bureau of Labor Statistics shows that millions of people are willing to spend their careers at many of these considered low income jobs. For example, people such as high school dropouts or even felons, working at low-income jobs may be their only option in life. Increasing the minimum wage would reduce turnover rates and keep millions of Americans with job worth working for. Gradually the economy would see a decrease within the United States unemployment rates. …show more content…
They believe that that young adults “need the experience” of working at the minimum wage. If an individual was to look at the youth “unemployment rate in Germany is 7.8 percent, and in Switzerland, it is 8.5 percent. On the contrary, youth unemployment is 15.5 percent in the United States. Nevertheless, both Germany and Switzerland have higher minimum wages than the United States, but both have much lower youth unemployment rates. Germany and Switzerland’s overall unemployment rate are also lower: 4.5 percent and 3.4 percent, respectively. The minimum wage makes no difference on youth unemployment”