5 ms·

I guess Trump is getting 4 more years.

TAForObvReasons 7y ago
> The faster growth at the bottom is probably being fueled in part by recent minimum-wage increases in cities and states across the country ... wages for low-wage workers rose 13 percent in states that raised their minimum wages, compared with 8.4 percent in states that did not "Blue states" saw a much bigger bump
- deleted 7y ago
  [deleted]
- kortilla 7y ago
  Setting the price does not set demand. The only thing that makes min wage bumps sustainable is a strong economy. Additionally, it’s easy to increase the average by eliminating people on the lower end. If a min wage increase results in a 50% loss of jobs in that range, it’s still an average wage increase for the workers that survived. There’s just a higher unemployed pool that isn’t counted in the average.
  - jellicle 7y ago
    Luckily, all the evidence is that minimum wage increases don't cause any job losses.
    - skookumchuck 7y ago
      McDonald's has eliminated a number of jobs, replacing them with kiosks. When I visit the hardware store, and others, there are noticeably fewer employees there.
      - fucking_tragedy 7y ago
        They were doing this well before minimum wage increases.
        skookumchuck 7y ago
        They knew it was coming. McD's didn't become a global empire with fools running it. It probably accelerated their plans, though, because the kiosks were installed coincident with the rises. Personally, I eat out a lot less due to the menu price increases attributable to the min wage increases.
        drak0n1c 7y ago
        Yes, but a higher minimum wage (effectively a carbon tax on labor) isn't helping.
    - gwright 7y ago
      "All" the evidence? I don't think that is true. https://foodinstitute.com/blog/nyc-restaurants-feel-the-squeeze-of-minimum-wage-hikes https://foodinstitute.com/blog/nyc-restaurants-feel-the-sque...
    - stale2002 7y ago
      Oh cool. Let's set those minimum wages to 1 thousand dollars an hour. No job loss, right?
      - redisman 7y ago
        Got em!
  - oblib 7y ago
    "if a min wage increase results in a 50% loss of jobs in that range" That is a huge "if". Is there anywhere that actually happened?
    - sadris 7y ago
      Oregon. https://www.researchgate.net/publication/266495645_Effects_of_the_1998-1999_Oregon_Minimum_Wage_Increase https://www.researchgate.net/publication/266495645_Effects_o...
  - scarejunba 7y ago
    True enough, but minimum wage increases can capture economic surplus to labour. So if there is an increase in economic surplus due to increased efficiency (say warehouse allocation improves to require 50 workers instead of a 100), then normally the warehouse owner gets all (well, presumably they could use that to lower prices or something as well) the surplus from that. A minimum wage increase can move some of that surplus to labour. So if productivity rapidly rises over some period of time, it makes sense to increase minimum wage if you want some of that to go to labour. The idea being demand won't drop that much. We do know that productivity has been rising quite a bit recently, but real wages are stagnant. This may mean that more of the surplus is going to capital. Given all that, minimum wage increases will probably not lead to diminished demand overall (it's possible some industries don't have the capacity) unless they eat up more than the surplus.
  - threwawasy1228 7y ago
    This minimum wage loss of jobs did not happen at least not in my region.

> The faster growth at the bottom is probably being fueled in part by recent minimum-wage increases in cities and states across the country ... wages for low-wage workers rose 13 percent in states that raised their minimum wages, compared with 8.4 percent in states that did not "Blue states" saw a much bigger bump

deleted 7y ago
[deleted]
kortilla 7y ago
Setting the price does not set demand. The only thing that makes min wage bumps sustainable is a strong economy. Additionally, it’s easy to increase the average by eliminating people on the lower end. If a min wage increase results in a 50% loss of jobs in that range, it’s still an average wage increase for the workers that survived. There’s just a higher unemployed pool that isn’t counted in the average.
- jellicle 7y ago
  Luckily, all the evidence is that minimum wage increases don't cause any job losses.
  - skookumchuck 7y ago
    McDonald's has eliminated a number of jobs, replacing them with kiosks. When I visit the hardware store, and others, there are noticeably fewer employees there.
    - fucking_tragedy 7y ago
      They were doing this well before minimum wage increases.
      - skookumchuck 7y ago
        They knew it was coming. McD's didn't become a global empire with fools running it. It probably accelerated their plans, though, because the kiosks were installed coincident with the rises. Personally, I eat out a lot less due to the menu price increases attributable to the min wage increases.
      - drak0n1c 7y ago
        Yes, but a higher minimum wage (effectively a carbon tax on labor) isn't helping.
  - gwright 7y ago
    "All" the evidence? I don't think that is true. https://foodinstitute.com/blog/nyc-restaurants-feel-the-squeeze-of-minimum-wage-hikes https://foodinstitute.com/blog/nyc-restaurants-feel-the-sque...
  - stale2002 7y ago
    Oh cool. Let's set those minimum wages to 1 thousand dollars an hour. No job loss, right?
    - redisman 7y ago
      Got em!
- oblib 7y ago
  "if a min wage increase results in a 50% loss of jobs in that range" That is a huge "if". Is there anywhere that actually happened?
  - sadris 7y ago
    Oregon. https://www.researchgate.net/publication/266495645_Effects_of_the_1998-1999_Oregon_Minimum_Wage_Increase https://www.researchgate.net/publication/266495645_Effects_o...
- scarejunba 7y ago
  True enough, but minimum wage increases can capture economic surplus to labour. So if there is an increase in economic surplus due to increased efficiency (say warehouse allocation improves to require 50 workers instead of a 100), then normally the warehouse owner gets all (well, presumably they could use that to lower prices or something as well) the surplus from that. A minimum wage increase can move some of that surplus to labour. So if productivity rapidly rises over some period of time, it makes sense to increase minimum wage if you want some of that to go to labour. The idea being demand won't drop that much. We do know that productivity has been rising quite a bit recently, but real wages are stagnant. This may mean that more of the surplus is going to capital. Given all that, minimum wage increases will probably not lead to diminished demand overall (it's possible some industries don't have the capacity) unless they eat up more than the surplus.
- threwawasy1228 7y ago
  This minimum wage loss of jobs did not happen at least not in my region.