According to “The Columbia Encyclopedia” the minimum wage was established by labor unions, and legislations. The encyclopedia also states that businesses making under $500,000 annually are not subject to minimum wage laws. The minimum wage here in Alabama is currently at $7.25 and hour. The Article states that Alabama minimum wage was raised to $7.25 in 2007. Although the cost of living in Alabama is lower than many other states, I still think that the minimum wage should be a little higher. The Article states that the minimum wage act covered Eight Million workers who were not making a decent wage. (minimum …show more content…
When you talk about poverty it’s about people receiving government assistance, and low income families. Not every person deals with poverty but majority do. According to Neumark David in order for you to determine if raising the minimum wage will decrease poverty, you have to evaluate the people who are affected by poverty. He Also states that how minimum wage can either hurt some or help some being that, some may be able to get a job while others may not be as fortunate. He states that wages may raise incomes of poor families without also taking them out of poverty as well. Lower income families will benefit because they will have the necessary finances to make a decent living without any assistance. Although on the other hand high income families will also suffer because they will have to pay the high rising prices as well. This can be good and bad on both ends; Others have to deal with it as well. On the bright side of that if more people are coming off of government assistance that mean that it could lower the taxes for some of the high income families as well. So that’s why I say it’s a good and a bad thing. ( Neumark, D. Wascher, w.,