Should Minimum Wage be Increased.
There are several factors in the $15 minimum wage debate. These factors can benefit people struggling to support themselves and their families. If the minimum wage is increased, it will positively affect the economic situation of a community of individuals. The minimum wage increase to $15 will be a turning point in discussing the minimum wage. This growth would be unprecedented in the country’s past. $15 is already stronger in 2024 than it was in 2016. In the 1960s, the minimum wage was just half of the national average. The increase will provide for a historic minimum wage of about 60% of the median wage in 2024.
The Raise, the Wage Act, will benefit those who require it. This rise would help every employee and enhance their quality of life. Fifty-five percent of the employment that would benefit from the increase comes from households with incomes below $50,000 annually (para. 3). Any home ought to increase the minimum wage enough to do this. MIT scientists found that, in a family of four, all adults on average require a full-time employee who pays $15.80 an hour to meet their goals (para. 3). Not just that, but a single parent with one kid will require $20.74 an hour to get by in Mississippi in the lowest-wage state (para. 3). This increase would support specific parents who need assistance. Research by David Cooper, Larry Mishel, and Ben Zipperer indicates that this rise could contribute, with fewer hours of work over a year, to higher averages for honest low-wage workers (para. 4). This impact helps individual parents to function to take care of their offspring.
The financial outcomes that could be obtained could be advantageous. The worker saves for what he likes, and so he has worked on it. The rise in minimum wages aims to provide employers with economic incentives that permit them to invest money on what they want in their lives (Halvorson para. 2). Inflation will continue to rise with time. The minimum wage should be changed to account for inflation (para. 2). Some could claim that the rest of the minimum wage jobs are adolescents who labor for extra income. The total age of the bill is 36, not young people (Bernstein, Spielberg para. 7). And if so, couldn’t the situation be reduced to the wages that need to be raised in order to fight? As I previously said, several factors influence the $15 minimum wage, including the fact that it has a tax, societal, and economic effect on communities and the fact that it violates long-standing expectations. The 15-dollar minimum wage is incredible and has a significant impact on people’s lives. A $15 minimum wage will aid a group of people in their battle.
The federal minimum wage has recently been a hot subject of discussion all around the country. President Franklin D. Roosevelt adopted the plan for the first time in the United States in 1938, during the Great Depression. The United States Congress initially set the prices at $0.25 per hour. According to a 2009 federal government mandate, rates have since been raised and currently stand at $7.25 per hour. As of January 2018, 29 states have met, with the vast majority having a higher minimum wage than the federal mandate. Washington has the highest minimum wage in the country, at $11.50 per hour. This paper explores two contrasting points of view to decide if the government should consider increasing the minimum wage.
Economists have been at the forefront of the dispute regarding minimum wages. Some fear that raising the minimum wage will break the wage inequalities in the world. Others, on the other side, argue that the country will profit from raising the minimum wage. Any party mentions economic analyses and forecasts to support their arguments. The critical points of view are The benefits of raising the minimum salary Proponents of higher minimum wages contend that $7.25 per hour’s existing wages are much too little. They argue that raising salaries will increase jobs, leading to economic development. The decrease in the minimum wage value is also linked to the increase in wage disparities. According to Collins (2017), raising the minimum wage from $7.25 to $10.10 an hour will give rise to more than 85,000 new employees and $22.1 billion in net income for three years in the United States. New estimates show that many Americans with low incomes do not have many funds to fulfill their basic needs. This would increase the country’s total cash balance by boosting the minimum wage and spending more on entrepreneurship. In addition, as resources grow, individuals can afford to meet their essential needs, such as food and shelter, which leads to fewer disparities.
Opponents raise their minimum wage to the detrimental effect they can have on employers, small and medium-sized enterprises. Businesses would have to adjust if they had to compete with a solid minimum salary in a free economy. This will delay economic development and lead to falling job rates. Neumark (2017) states that companies can increase their minimum wage and find alternatives to compensate for a resource deficit. Reduces on imported goods and services or wage increases on employees are the most popular means of paying for deficiencies. According to the Federal Reserve Bank of Cleveland poll, the minimum wage is a good decision for middle and lower-income jobs. However, the salary rise decreases their job prospects, improves their working hours, and increases their net income (Eisenbeis et al. 164).
The better choice could be to double the country’s minimum wage. However, good policies are required to make the change effective. The government must address work availability, tighter labor rights, and, above all, the expanding income disparity. Moreover, higher pay is not determined by the goodwill or location of an employer. Work Cited
Collins, Christopher. “Raising the Minimum Wage: An Economic Gain.” The Park Place Economist 25.1 (2017): 20.
Eisenbeis, Robert A., Simon Kwan, and Larry Wall. “Financial stability and resolution of Federal Reserve Goal and implementation conflicts.” Journal of Financial Services Research 53.2-3 (2018): 163-178.
Neumark, David. The Employment Effects of Minimum Wages: Some Questions We Need to Answer. No. w23584. National Bureau of Economic Research, 2017.