Against Raising Minimum Wage Essay
People everywhere are voicing out that we need to increase minimum wage, again. They say that an increase will have a minor impact on jobs but there are no facts to back them up. The impact of raising minimum wage has been studied since the beginning, and has been concluded that raising minimum wage hurts the poor, and helps the rich. Raising minimum wage takes away jobs; especially the low-skilled and young worker, keeps people on welfare, and also encourages high school students to drop out. When you look at the facts, is it really worth raising minimum wage? All credible research has come to the same conclusions, and these I will discuss with you.
Poverty will rise
When minimum wage is raised, …show more content…
And last but not least is KIA Motors Corporation. They are also going out of business in 2011. These are just a few of the businesses that are going out of business. There are several more.
Now back to why we shouldn’t raise minimum wage. With raising minimum wage, and the jobs lost, more people will be on unemployment. Eventually unemployment benefits will start dwindling down because the economy just can’t afford it. There will be millions of people without jobs, some without homes, and their family, and some will be living in homeless shelters. And a lot more will be living on the streets, because there aren’t many jobs out there and there will be even less jobs in the future, unless we put a stop to raising minimum wage. Ten years ago the minimum wage rose from 4.25 to 5.15, and almost 100,000 jobs were lost. Minimum wage right now is 7.25, but come in 2011; they might be raising it to 9.50 per hour. If there were that many lost jobs ten years ago for raising minimum wage, imagine just how bad it will be this time…
Prices will Increase
From a supply and demand perspective, prices on products will rise, and the demand for the product goes down, leaving a surplus of products. When you’re struggling with the way things are now, how will you survive when they raise the prices on everything? They have to raise the prices to afford to pay their employees when minimum wage is raised. Raising the minimum wage will cause price inflation, which is the rise