Minimum Wage Debate Analysis
Throughout the nation, a large debate is taking place. Should we raise the federally mandated minimum wage? Should we help out that single mother who can barely pay her rent and get food for her kids? Should we pay her wages that actually are enough to live on? Or will this hurt your local small business owner and tarnish the American dream; the very same American dream that America was built upon hundreds of years ago. These two viewpoints should not be taken lightly; they will determine whether or not the economic future of America is sustainable and prosperous.
The minimum wage debate is currently being caused by the issue of stagnating wages. The issue is this. As the cost of living rises, wages in America have remained largely the same. …show more content…
In this article, John Komlos argues that raising the national minimum wage will have a positive impact on the economics of America. Komlos details that over the past few decades, the minimum wage has shrunk by a substantial amount when comparing it with the inflation that America has experienced. America’s current nationally mandated minimum wage is $7.25. This is miniscule in comparison to the inflation-adjusted minimum wage from 1968, which would be $10.90 in today’s dollars. Because of this shrinking minimum wage, a new class of working poor has really appeared on the American socio-economic class structure. This new class of workers is unable to move up in the world because these starting wages are too small. No matter how hard these people work, they still can’t gain an …show more content…
Komlos uses data from Germany, Switzerland, and The United States to combat this claim. In Germany, where the minimum wage is the equivalent of $10, the national youth unemployment rate is 7.8%. Compared to the American youth unemployment rate of 15.5%, it appears as though a higher minimum wage is not a major contributing factor towards higher unemployment rates. In Switzerland, there is also a higher minimum wage and lower youth unemployment rate than in the United States. In addition to all of this, John Komlos references a poll conducted by The Pew Research Center that shows that more than three quarters of America’s population, republicans and democrats altogether support raising the national minimum wage to $10.10 per hour. John Komlos believes that all of this contributes to why America should raise its federally mandated minimum
The minimum wage debate is currently being caused by the issue of stagnating wages. The issue is this. As the cost of living rises, wages in America have remained largely the same. …show more content…
In this article, John Komlos argues that raising the national minimum wage will have a positive impact on the economics of America. Komlos details that over the past few decades, the minimum wage has shrunk by a substantial amount when comparing it with the inflation that America has experienced. America’s current nationally mandated minimum wage is $7.25. This is miniscule in comparison to the inflation-adjusted minimum wage from 1968, which would be $10.90 in today’s dollars. Because of this shrinking minimum wage, a new class of working poor has really appeared on the American socio-economic class structure. This new class of workers is unable to move up in the world because these starting wages are too small. No matter how hard these people work, they still can’t gain an …show more content…
Komlos uses data from Germany, Switzerland, and The United States to combat this claim. In Germany, where the minimum wage is the equivalent of $10, the national youth unemployment rate is 7.8%. Compared to the American youth unemployment rate of 15.5%, it appears as though a higher minimum wage is not a major contributing factor towards higher unemployment rates. In Switzerland, there is also a higher minimum wage and lower youth unemployment rate than in the United States. In addition to all of this, John Komlos references a poll conducted by The Pew Research Center that shows that more than three quarters of America’s population, republicans and democrats altogether support raising the national minimum wage to $10.10 per hour. John Komlos believes that all of this contributes to why America should raise its federally mandated minimum