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Price fixing by government is always wrought with unintended consequences. This scheme has the double whammy of 1) decreasing the number of low-skill, entry-level hires and 2) driving inflation.
So if I read this right, the state has a minimum wage of $6.15 and the fed has $7.25. Why?
Higher minimum wage leads to higher unemployment. That's Econ 101.
Another liberal idea, that will have the opposite affect. Just wait and see. Less low skill jobs, higher unemployment among youth, comapnies going out of business, etc etc. Libs just cant understand some jobs simply are NOT worth 7.5/hr.
Many government union contracts are indexed off the minimum wage, 3x or 4x. How much would this cost tax payers?
Raising wages leads to more discretionary income leads to a better economy. The '90s proved it. The conservative idea that we need all the income in 1% of the pockets and everyone else needs to be a feudal serf is not viable and never has been. The '00s proved it.
There would be no need for a minimum wage if laws against hiring illegals were strengthened and enforced. Make the fine for hiring illegals $100,000 each, with $33,000 of that going to the whistleblower and you will know about every one within a week. Add a short/medium/long jail sentence for 1st, 2nd, and 3rd offenders and those wages will rise right past the minimum wage as the labor pool drys up. Of course, this works much better on a national levl than as a single state, but since our current executive branch probably owes it's re-election to votes from those illegals, they will never do the right thing, and as long as you have a nearly unlimited labor pool for those bottom end jobs, the wage will remain depressed. Bill G.
BTW, indexing the minimum wage to inflation GUARANTEES constant inflation. Bill G.
If raising the minimum wage is so great, why not raise it to $20/hr? Or maybe $50/hr? Then nobody will be poor.
Raising min wage will cause MORE unemployment. Good Luck.
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