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A Minority View: Higher Minimum Wage

michael1819 Wrote: Feb 28, 2013 10:37 AM
Their dollar is not equal to our dollar. their unemployment is that low because people have left the country. Of course they measure it by people ACTIVELY looking for a job. How does one determine a living wage? What factors go into it? If this was the purpose of the minimum wage in the first place why does it need to be increased? Why did prices go up from its inception to now? It wasn't because of the increase in profits. The "Living Wage" has not worked yet. Wealth does not simply accumulate at the top. Its not like there is a tower of gold at the HQ of every major corporation. This money is re invested. Usually wisely. Or the company expands. That is why there is a Starbucks on every other corner. They provide jobs not the government.

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,...