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The cost of living would also be much higher if minimum wage was $22/hour. A raise in minimum wage does not equal a raise in minimum spending power. Many busin
by paulhauggis 14y ago
The cost of living would also be much higher if minimum wage was $22/hour. A raise in minimum wage does not equal a raise in minimum spending power.
Many businesses will also cut some of their jobs because they just can't pay a minimum wage that is that high (but the job might be available if it was lower).
You might have an increase in spending power for the short time that it takes for the economy to catch up.
Look at Denmark or Sweden. Minimum wage is high, but it also costs almost $10 to buy coffee at 7-11.
- orofino 14y agoI don't think the goal or desire was to raise it to $22/hr, but merely provide some illustrations (certainly flawed) about how inadequate the minimum wage is today. It is certainly true that with increases we would see a decrease in the purchasing power of the dollar. I'd love to read something from an economist on this, I certainly don't know what the exact answer is.
- anigbrowl 14y agoCoffe and a piece of sweet food at 7-11 in Sweden is $4-5. I'm going from the menu in this photo taken in January: http://www.fastcodesign.com/1671683/rebranding-7-eleven-with-a-bold-retro-nostalgic-style#1 http://www.fastcodesign.com/1671683/rebranding-7-eleven-with... That's about double the US price but rather less than the $10 you suggested. I would guess the coffee alone is about $3.