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Well, there is research suggesting that a minimum wage has unexpected effects. The economics 101 take is that raising the minimum wage will increase unemploymen

• AnthonyMouse 8y ago
  This is the "everything is complicated" view where you can find weird effects to support whatever you want if you look at enough different examples. For example, when major employers are large inefficient bureaucracies with high margins, raising the minimum wage doesn't result in those entities laying off many if any workers, because they can just eat the cost and keep going as if nothing changed. But when the employers are lean and operate in markets with high elasticity of demand, as in this case, it does directly result in unemployment. Because there is no way to pay more without charging more, but charging more reduces demand. Notice that this is another way of saying that minimum wage has more negative impact on efficient companies than inefficient ones, which I take as another argument against it.