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> Minimum wages should be raised and nonviable businesses should adapt or go under. That's a recipe for significantly increased unemployment which would affect

> Minimum wages should be raised and nonviable businesses should adapt or go under. That's a recipe for significantly increased unemployment which would affect the most vulnerable workers the most. For most people in a low-paying job, the alternative is no job. If they were able to get higher-paying jobs they would have already done so.

treve 7y ago
Then why have a minimum wage at all?
- Vrondi 7y ago
  Because, before minimum wage, we had people being paid the price of a loaf of bread for an entire day's labor. We had people being paid in "company scrip" only spendable in the company's own store at inflated prices, instead of real national currency.
- twblalock 7y ago
  Because, unlike what you suggested, policymakers are able to calibrate the minimum wage so it doesn't cause companies to go out of business.
  - arrosenberg 7y ago
    Large corporations are making bigger profits than ever and the minimum wage isn't being calibrated to actually ensure a decent standard of living.
  - nearbuy 7y ago
    Only about 2% of hourly paid workers earned federal minimum wage or less in 2018 in the US [1]. This percentage has been dropping over the past few decades. I think this implies that minimum wage has been calibrated to be low enough that it makes little difference overall. [1] https://www.bls.gov/opub/reports/minimum-wage/2018/home.htm https://www.bls.gov/opub/reports/minimum-wage/2018/home.htm
    - twblalock 7y ago
      That's misleading because the federal minimum wage is lower than more than half of state minimum wages.
      - nearbuy 7y ago
        Right, because the federal minimum wage is calibrated to be low enough that it doesn't make much difference. In Texas, where the state minimum wage is the federal minimum wage, there are still only about 3% of hourly workers earning minimum wage or less.
- jessaustin 7y ago
  Why, indeed. In a society with a functioning safety net, minimum wage wouldn't be necessary. That wouldn't only be better for those who can't work at all. All employees would benefit, and eventually most businesses would as well. Here in USA I'm not sure if such a safety net is possible, but I hear good things about other societies.

treve 7y ago

Then why have a minimum wage at all?

Vrondi 7y ago
Because, before minimum wage, we had people being paid the price of a loaf of bread for an entire day's labor. We had people being paid in "company scrip" only spendable in the company's own store at inflated prices, instead of real national currency.
twblalock 7y ago
Because, unlike what you suggested, policymakers are able to calibrate the minimum wage so it doesn't cause companies to go out of business.
- arrosenberg 7y ago
  Large corporations are making bigger profits than ever and the minimum wage isn't being calibrated to actually ensure a decent standard of living.
- nearbuy 7y ago
  Only about 2% of hourly paid workers earned federal minimum wage or less in 2018 in the US [1]. This percentage has been dropping over the past few decades. I think this implies that minimum wage has been calibrated to be low enough that it makes little difference overall. [1] https://www.bls.gov/opub/reports/minimum-wage/2018/home.htm https://www.bls.gov/opub/reports/minimum-wage/2018/home.htm
  - twblalock 7y ago
    That's misleading because the federal minimum wage is lower than more than half of state minimum wages.
    - nearbuy 7y ago
      Right, because the federal minimum wage is calibrated to be low enough that it doesn't make much difference. In Texas, where the state minimum wage is the federal minimum wage, there are still only about 3% of hourly workers earning minimum wage or less.
jessaustin 7y ago
Why, indeed. In a society with a functioning safety net, minimum wage wouldn't be necessary. That wouldn't only be better for those who can't work at all. All employees would benefit, and eventually most businesses would as well. Here in USA I'm not sure if such a safety net is possible, but I hear good things about other societies.