OPP Newsletter

http://www.youtube.com/watch?v=OfXYze1Epm0

If the minimum wage went up, it would be a real savings for taxpayers who would not have to subsidize Walmart employees because of their low wages.

rumitoid

This is true and it also goes for all those fast food workers who must also rely on subsidies from the government. Higher wages will also mean more money in the economy. The belief that a higher wage would produce greater inflation, cause layoffs and ruin small businesses has been proven wrong. Look at Vermont. It has one of the highest minimum wage laws and has only 4% unemployment, and business is booming.

alex Loc: michigan now imperial beach californa

then they can spend that extra money on the higher prices that would result

Tasine Loc: Southwest US

Not again!?!?! Please tell me we aren't doing this schtick again!! Minimum wage increases are part of the problem we are in at present. I've explained it so many times that I refuse to do it again. The people wanting minimum wage increase aren't accustomed to thinking it through to the logical conclusion. They say "it gets more money into circulation", but they don't explain how it does it. They say those on minimum wage wind up on food stamps and/or welfare. I have a feeling that is true - and perhaps why they took a minimum wage job in the first place. Minimum wage jobs are for teenagers without skills. Any grown up who must work for minimum wage is either incapable of advancing because of physical restrictions or because he is mentally slow or because that's where he chooses to be. My bet that it is the choice he makes nine times out of ten.

The minimum wage earner NEVER benefits from a minimum wage increase as it raises the cost of every aspect of the economy - and those increases in cost hits the minimum wage earner just like it hits the millionaire, except WORSE because he can afford it less.

working class stiff Loc: N. Carolina

You raise many issues, yet just assume that your answers are the correct ones. Here is a link....
http://www.raisetheminimumwage.com/pages/qanda

read through and follow some of the links. They will differ on your outlook on the question. People don't work for minimum wage because they are physically restricted or mentally slow. Nobody would work minimum wage jobs if they did not have to. That makes no sense.

Tasine Loc: Southwest US

~~~~~~~~~~~~~~
You're right in that no one would work for minimum wage if they didn't have to......or were doing it for some other nefarious purpose.

Youngsters have had no chance to become experienced at any jobs - hence they start at the bottom. Anyone with a couple of years experience should have progressed beyond the minimum wage stage. Not to have done so makes me question their drive to succeed, hence how good would they be as an employee - possibly not worth the current minimum wage. Many have lost their jobs, and some may temporarily have to work for minimum wage, but it should NEVER be considered a life long goal to work for minimum wage. Do you not understand that when it costs more to hire people, the cost is passed on to ALL customers, all trucking, all manufacturing, all handlers, all busboys, all stockers, EVERYONE, INCLUDING THE MINIMUM WAGE PERSON?
For additional reading, you may want to view:

http://www.mackinac.org/18921
Minimum wage laws hurt people


http://www.epionline.org/study/r98/
When the US economy is mishandled, minimum wage cannot support a family without tax dollars helping out. When the economy is healthy, it can. You may want to have a talk with your politicians who cause the biggest problems with the economy - they and the banking industry.

working class stiff Loc: N. Carolina

My politicians? They don't listen to me.
However, I do try to see both sides of an issue and like many public policy issues, the minimum wage question is more complex than just one side is wrong and the other right. Your first link didn't do anything for me. The second one was informative. I do know that basic capitalist economic theory leads one to think that raising the cost of labor would drive down demand. But study after study shows the results more ambiguous...there are many reasons why

http://www.washingtonpost.com/blogs/wonkblog/wp/2013/02/14/why-economists-are-so-puzzled-by-the-minimum-wage/

alex Loc: michigan now imperial beach californa

wages are a part of the cost of doing business and all costs are passed on to the costumer and that wage earner is a costumer therefore the raise in wage he gets is spent buying the product so he winds up right where he started if he wants more money he needs to advence

working class stiff Loc: N. Carolina

It's not a given that all costs are passed on to the consumer. A company may decide that selling more volume at a lesser profit margin may maximize their profits.

The old Henry Ford-Model T example.

Tasine Loc: Southwest US

That was then. This is now. A bigger difference than many want to accept. If you are losing money on one sell, and increase your sales, looks to me like you are losing money faster than necessary. And while one merchant may do just as you suggest, do you think enough of them will follow along? I don't think so.

snowbear37 Loc: MA.

When the minimum wage is raised for non- or low-skilled workers, it automatically de-values the pay rates for skilled or experienced workers by whatever amount it is raised. A better system would be "meritorious raises". As a person's efficiency and skills increase, so should the wage. The market should dictate what a certain wage should be for a certain job, not the government (especially the Federal government). The incentive to excel in any trade or job is the expectation of a higher wage. Increasing the minimum wage almost always causes businesses to "pass along" that added expense to customers. It's a "fact of life" that not too many people or businesses in this world want to take a cut in their profit margin for any reason. That being said, the higher cost of doing business doesn't just affect the employer, the "ripple effect" comes into play and although it would be "nice" if employers would take the "hit" and not "pass it along", it doesn't happen too often. It boils down to "what is a certain job worth in terms of actual dollars". The government says one thing, the market says another. I trust the market more than the government.

bahmer

A lot of people back in my day got jobs for no pay whatsoever as the job was looked at as an apprenticeship and those apprenticeships were not only in factories but also in the newsrooms across this great nation they were also in Washington DC where the Aids were at one time not paid but were allowed to learn the workings of our government. There were all kinds of positions that were open for zero pay and when the apprentice became efficient they received pay and as they progressed they received more until one day they became the master of whatever trade they took up. There were a lot of tool and die makers that started out that way as a gofer and advanced and became artists in the tool and die business and there were a number that didn't work out and were told to find another type of work. This allowed a large number of people to try various occupations at minimal expense and true most all the people back then had settled on an occupation by the time they lived by themselves or got married but it worked well. Now everybody wants to start at the CEO's salary and no one wants to work to get there. Why not just give everybody a million dollars. Then you won't have any buss boys or waitresses or garbagemen or janitors or anything else at low paying jobs. At least for a short period anyway. After they spend their money which would be in short order we would be back to the same situation again. Our Constitution guarantees life, liberty, and the pursuit of happiness, it never guarantees happiness just the pursuit.

Navysnipe Loc: Old West

You forgot to factor in the cost of obamacare. This, coupled with higher wages, would indeed close down many businesses.

bahmer

Very true. I have neighbors living behind me that were told that they were having their hours cut to 28 hours per week. They were previously full time with health care and now they are part time with no health care. So what are their options now, find another part time job of 28 hours a week and buy your own health care. Now you are working 56 hours a week and buying your own healthcare and making less than before OIllegal got involved.