Cost-Benefit Analysis: Minimum Wage

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Economics 1101 Essay
Cost-benefit analysis

Introduction
When the question is asked "Who benefits and who loses when it comes to the minimum wage" there are really 2 ways to look at it, the short term effects and the long term effects . While the minimum wage laws usually aim to prevent poverty among lower income earners sometimes it create it rather than help prevent it.
Minimum wage increase
Short term
+ Increase in Earnings -Decrease in Employment
+ Increase of local spending and tax revenue - Decrease in hours worked
+ Decrease in worker turnover - Increased Prices

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