4 ms·

Let me get this straight. You think a minimum wage increase will increase the velocity of money, which will cause inflation, which is a good thing. That's the

• sergiosgc 14y ago
  Don't read too much into my comment. Your argumentation was based on the the fact that inflation only occurs when you add monetary mass. I just pointed that that's a naive view. Contrary to your statement, you can legislate inflation into existence by creating conditions for increased money flow. I did not say anything about the benefits of increasing minimum wage. In general it is known that the absence of minimum wage creates unsustainable imbalances of income society-wide. However, I don't know the US economy well enough for an informed opinion. Your current imbalance of income is huge, but that's only one data point.
• superuser2 14y ago
  No, it's not original. It's called the "multiplier effect" and it's a pretty standard economic principle. See Forbes: http://www.forbes.com/sites/timworstall/2013/02/25/overestimating-the-effect-of-a-minimum-wage-rise/ http://www.forbes.com/sites/timworstall/2013/02/25/overestim...