Ontario recently announced raising minimum wage from $11.40 to $15 by 2019. I've seen a negative response to this by everyone I know, as many of them say there

Ontario recently announced raising minimum wage from $11.40 to $15 by 2019. I've seen a negative response to this by everyone I know, as many of them say there will be less jobs available and consumer prices will go up. I thought the change would be great though, so I found it interesting that the first source in the further reading section of this report has this in its conclusion: > "Businesses will absorb the additional 3.3 percent in payroll costs partly through savings on employee turnover costs, higher worker productivity gains, and some automation (the substitution effect). Most of the increase in costs will likely be passed on to consumers via increased prices. Since labor costs make up only about one-fourth of operating costs, consumer prices will increase only slightly—about 0.14 percent per year over the phase-in period." [0] So yes, there will be automation, and yes, there will be increased prices, but neither of those negative points come close to negating the huge benefit of increased pay. > "Based on our analysis, we conclude that the proposed minimum wage will have its intended effects in improving incomes for low-wage workers. Any effects on employment and overall economic growth are likely to be small. The net impact of the policy will therefore be very positive." [0] [0] http://irle.berkeley.edu/files/2016/The-Effects-of-a-15-Minimum-Wage-in-New-York-State.pdf http://irle.berkeley.edu/files/2016/The-Effects-of-a-15-Mini...