President Obama conveyed in his State of the Union, “No one who works full time should have to live in poverty” (Holzer). Most Democrats will support the president’s message; however, most Republicans will strongly oppose it because it will lead to an increase of the unemployment rate. Politically speaking, we shouldn’t rely on politicians to tell us what is true or what is false about our own country’s economy. We should rely on our economists instead for factual information and statistics. My opponent believes in raising the federal minimum wage from $7.25 to $10.10, with which I strongly disagree. I propose that the federal minimum wage should be raised to $10.10 at all. Raising the minimum wage could result in reduction of employment,
…show more content…
Therefore, the rate of unemployment could potentially rise. When people think of raising minimum wage they think “more money to spend on goods and services” which is a positive effect for business profit and the country’s GDP, additionally boosts young workers’ morale and their living standards. But, adding more dollars to low-wage workers’ pockets can substantially hurt small business owners who are also barely “getting by”, firms, and the middle-class Americans (Williams).
Is the positive effect enough to setback and balance the whole workforce? No. While, gaining “more money” can temporarily boosts one’s self esteem and it can either reduce their desire for a higher career advancement or lose interest in seeking a college education. In the long term effect, it could lead to a high population of unskilled workers with a low population of skilled labor workers and college graduates. Another negative option a business can reduce worker benefits such as “paid vacations, reimbursed parking, or even gym memberships”
Therefore, the rate of unemployment could potentially rise. When people think of raising minimum wage they think “more money to spend on goods and services” which is a positive effect for business profit and the country’s GDP, additionally boosts young workers’ morale and their living standards. But, adding more dollars to low-wage workers’ pockets can substantially hurt small business owners who are also barely “getting by”, firms, and the middle-class Americans (Williams).
Is the positive effect enough to setback and balance the whole workforce? No. While, gaining “more money” can temporarily boosts one’s self esteem and it can either reduce their desire for a higher career advancement or lose interest in seeking a college education. In the long term effect, it could lead to a high population of unskilled workers with a low population of skilled labor workers and college graduates. Another negative option a business can reduce worker benefits such as “paid vacations, reimbursed parking, or even gym memberships”