4 ms·
No, no. If you pay unskilled workers more, they will spend more and the overall economy benefits. There will be more jobs and everybody will be happy. This is c
by DJHenk 7y ago
No, no. If you pay unskilled workers more, they will spend more and the overall economy benefits. There will be more jobs and everybody will be happy. This is called Spray Up Economics.
- therealdrag0 7y agoYou also price the bottom end out of the market. Sure mega-corps can afford to pay workers more, but half employees work for small businesses which are very sensitive to minimum wages. When wages go up it can be harder for employers to justify hiring teenagers, older, or disabled folk for entry level jobs like being a bus-boy.