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A Minority View: Higher Minimum Wage

3129 Wrote: Feb 27, 2013 5:31 PM
I propose the minimum wage be increased to $50.00/hr. I work for the state, so the taxpayers would not even notice it. As for those who cannot afford to pay that much to their employees, they are already voting with their feet.Viva la revolucion.

In his State of the Union address, President Barack Obama proposed raising the minimum wage from $7.25 an hour to $9 an hour. That would be almost a 25 percent increase. Let's look at the president's proposal, but before doing so, let's ask some other economic questions.

Are people responsive to changes in price? For example, if the price of cars rose by 25 percent, would people purchase as many cars? Supposing housing prices rose by 25 percent, what would happen to sales? Those are big-ticket items, but what about smaller-priced items? If a supermarket raised its prices by 25 percent,...