An increase in minimum wage without an increase in Government - TopicsExpress



          

An increase in minimum wage without an increase in Government revenue (like taxes) equates to increased wages. So some people are going to lose their jobs, while prices of goods will increase so that entrepreneurs can maintain their profit ratios. Increased spending power also leads to increased demand for goods, which leads to increased prices to maximize on profits. In laymans terms, raising minimum wage looks good on paper, but changes nothing in practice. Totally lacking foresight.
Posted on: Tue, 09 Sep 2014 10:51:27 +0000

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