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Effects on raising the minimum wage
Effects on raising the minimum wage
Economic effects of raising the minimum wage
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Quan and Rosa have a family of 2 children . Quan is a chief at Denny's and Rosa is a waitress and a cash register. The amount of money they make is about 8 dollars per hour. Quan and rosa would like to afford a house but they can't because they need to strain their budget. Raising the minimum wage would hurt our country and economy because of the increasing unemployment and increasing the price of service. One reason we should not get minimum wage wages is if the wages increasing less people will not have money or insurance and health benefits because wages will increase less money , the cost there will be less unemployment and the worker will decrease more. we shouldn't raise the minimum wage is because it would raise food they will not be able to afford anything (Smith pg 3) Another reason why minimum wages should not be unemployed because it will raise and increase the price of goods. $2.85 is the increasing of the minimum wage, that hurts the food prices. so if that's the case why raise the minimum wage only $2.85 if the food price is going to increase , when they’re already expensive. …show more content…
There are some people that feel the minimum wage should be increased.
This is exposed by Patricia Smith in the article Time Magazine for raise Patricia Smith states that economic policy institute estimates that an increase of $2.85 in the minimum wage would boost wages for about 28 million workers and would mean an additional $6.000 of income a year for those working full time. (Smith 3) however , it can be clearly shown that minimum wage should not be increased. My three example is the food prices would be higher . Workers get paid less than they get now. Because of Family’s minimum wages are decreasing then what they
got. In Conclusion people with minimum wage is with people loses money and can’t really afford a house or food and insurance. people with minimum wage gets the hardest jobs and the less paycheck they probably only get $7 a hour. Minimum wage doesn't hurt business but business get paid more and all the food prices, car prices and gas prices increases a lot. What’s better for are Americans is we should get paid more. have more health benefits and insurance maybe give us food stamps for the people who can't really afford food and raise some of are minimum wage for we can have a better life and no one don't have to struggle. Just like Quan and Rosa they both have minimum wage job that are trying to raise there kids with the money that they don't have.
Imagine a world where you are working overtime, seven days a week, yet your kids are starving. You can’t get the education you need because you don’t have the time and money to afford it, and you can’t change jobs because this is the only one you can get. Unfortunately, this is the reality for millions of Americans living today. The federal minimum wage is too low to help families, and actually mathematically speaking, too low to survive on. The quality of life for minimum wage families is terribly low, and that is unacceptable. As humans, we should be looking after others and helping the poverty come out of their continuous cycle. Raising the minimum wage would not only help families be able to afford a better quality of life, but help them to afford healthy food, get an adequate education, and invest in the necessary health care they need.
Well, raising the minimum wage has both the pros and cons. Still, the fact that increasing the minimum wage nationwide would increase millions of workers’ earnings is deniable. I suppose that’s why some people advocate raising the minimum wage will grow the economy for everyone. In 2014, the president of the United States, Obama, called on the current Congress to raise the national minimum wage, which proves that Obama actually supports raising the minimum wage. ‘February 2014 Congressional Budget Office Report The Effects of a Minimum-Wage Increase on Employment and Family Income is the latest attempt to do so, in this response to Members of Congress with respect to an increase in the federal minimum wage from $7.25 to $10.10 per hour.’
This article gives you a yes and no opinion on whether or not the F...
One way raising minimum wage will be beneficial is that it could lift many Americans out of poverty. Raising the minimum wage in Illinois, would help the families of more than 1.1 million workers who work to meet their children’s basic needs and “reduce the adverse effects of poverty on a child’s well-being” (Fiscal Policy Center). Studies have shown that raising the minimum wage would help 1 in 5 Illinois families who are in poverty. By raising the minimum wage in Illinois, it would help workers with families spend money on food, housing, gas, and other needs without going into poverty. Along with puling Americans out of poverty, raising the minimum wage could also stimulate economic growth. Raising the minimum wage, is stimulating economic growth by worsening the income inequality and substantially reducing the employee turnover for the business. Increasing a person’s income would raise their yearly earnings by $3,640 and “Improve the economic security and reduce the economies poverty rate” (Fiscal Policy Center). Low-wage workers spend most of what they earn on their basic needs, which is quickly spent and does not leave the worker with much money left to spend on other needs. This boost in the minimum wage will stimulate the economy and help create opportunities for more people, by hiring more workers to keep up with the
Furthermore, while Janice Steele says “A 2014 report from the Congressional Budget Office estimates that if the minimum wage were raised $1.75 more than 100,000 jobs.” This is a small amount of jobs compared to the amount of people’s lives that improve. As seen in Ira Knights research “A 2014 study from the Center for America showing that 3.5 million people would be able to get off of Supplemental Nutrition Assistance Program.” Hence, from just a minimum wage increase a large number of lives have been improved from such a small change.
Poverty continues to grow in America. The average minimum wage in the United States is $7.35 an hour- far too low in today’s society. Key expenses, for example, gas and housing prices, have gone up significantly since the minimum wage was last changed in 2007 (Wagner 52). The laws creating the minimum wage were intended to improve the standard of living and decrease poverty. Raising minimum wage is a vital step in decreasing poverty and giving every family the opportunity to survive and succeed. Millions of hard-working Americans are below the poverty line and need an increase in pay. Minimum wage must be raised because it will diminish poverty and assist the working class to support their families.
"When we talk about the kind of folks whose lives will be made better by raising the minimum wage, we're not talking about a couple teenagers earning extra spending money to supplement their allowance. We're talking about providers and breadwinners. Working Americans with bills to pay and mouths to feed."
There have been many arguments going on whether minimum wage should be increased. This action has its pros and cons. It can benefit many families as living cost has gone up, price for education is rising, and college students are in huge debts. Minimum wage has been around for ages. Minimum wage employment was a temporary condition for people to earn little payment until they moved on to a better paying job. These jobs helped build résumés, experiences, and skills for a better career. As years went on that idea began to demolish into a job that many families can get to survive and pay for their expenses. It has become the easy way for people to get easy pay.
The minimum wage today has a lot of issues; some people say it is not enough to live comfortably. Many agree that there needs to be an increase in minimum wages and by doing that it can help with our issues of poverty. Statistics show that a worker who is full time and earning minimum wage makes only $15,080 a year, which is under the federal poverty line for a family of two. (Gitis, 2013) The problem with that is $15,080 is not a sufficient amount that a person can live and grow on. “A family of two can consist of a mother and son or daughter, father and son or ...
"No family gets rich from earning the minimum wage. In fact, the current minimum wage does not even lift a family out of poverty."
Raising the minimum will end up hurting Americans more than helping them. The people that are for raising minimum wage are people who believe that increasing minimum wage can help those people who are unskilled and need an income they can live on. Yet, raising minimum wage would do the opposite and make employers have to fire people who earn minimum wage, because they can't afford the higher wages. People need to realize that increasing the minimum wage would hurt people more than help them. In the end increasing minimum wage would result in some people being let go, for the reason, businesses can't afford paying them minimum wage anymore.
On the other side of the argument Americans believe that with the increase of minimum wages it would help Americans out a lot more. One possible way that the increase in minimum wage may help an individual out is in the article Minimum wage Pros and Cons, “The Economic Policy Institute stated that a minimum wage increase from the current rate of $7.25 an hour to $10.10 would inject $22.1 billion net into the economy and create about 85,000 new jobs over a three-year phase-in period. Though this may be true, one problem
A person working at minimum wage will only make about $10,700 a year. When rent, groceries, bills and gas are all added up, it appears to be a nearly impossible task to keep a family afloat. But working 40 hours a week at $5.15 an hour, one makes less than $206 a week after taxes. Making $206/week, one brings home about $824/month. Adding 17 gallons of gas at $2.20 a gallon in a car; the cost ends up to be about $38 a week, $152/month. The gas and electricity bill about $120, $50 for cable, $147 for property taxes, $45 for the telephone bill, $25 for water, and $42 for house insurance. All this totals about $580 (Abrams, H). Making it difficult to afford cable, and make the smallest payment possible on all the bills causing one to slip into debt. This is reality for many of the people in the United States. At the current minimum wage level, a full time, year round minimum wage worker in 2005 will earn $5,378 less than the $16,090 needed to lift a family of three out of poverty (Minimum).
The minimum wage must be raised because the cost of living has gone up considerably. Education is essential if one wishes to work, and the cost of education has increased drastically in the past twenty years. Companies should be requied to pay workers what they deserve, and that is more than minimum wage is now. With our new technology and the technology in the future work is harder and more complicated. A minimum wage increase would raise the wages of many workers and increase benefits to those disadvantaged workers.
“Of course, nothing helps families make ends meet like higher wages. … And to everyone in this Congress who still refuses to raise the minimum wage, I say this: If you truly believe you could work full-time and support a family on less than $15,000 a year, go try it. If not, vote to give millions of the hardest-working people in America a raise.”