> As a thought exercise, consider the effect of raising the minimum wage to $100 in a town. This is the same kind of argument as the infamous Laffer curve, whi

> As a thought exercise, consider the effect of raising the minimum wage to $100 in a town. This is the same kind of argument as the infamous Laffer curve, which sounds much more profound than it actually is. "Let's increase tax to 100%: then nobody will be able to earn any money and everyone will be jobless. It proves increasing tax is bad!" -- Umm, no, it merely proved that there's a certain point (somewhere between 0% and 100%) beyond which increasing tax is bad. Crucially, it says nothing about whether the real world is to the left or right of that point, so essentially it tells us nothing useful. "Increasing minimum wage to $100" is just like that. Everyone can see that's a terrible idea. And it tells us absolutely nothing about what happens if we increase minimum wage by 10%.