Take five minutes: The facade of a minimum wage increase
By Maria Maresca / Feb.25, 2020
The current Democratic front-runners in the 2020 presidential race, Amy Klobuchar, Elizabeth Warren, Bernie Sanders, Joe Biden, and Pete Buttigieg, each hold common ground on one particular policy: Raising the minimum wage to $15 an hour.
Though this glamorized utopian idea of increased hourly pay appears ideal, it is a ruse in every right. When examined closer, it will harm rather than help the American people as a whole.
According to a 2019 study conducted by the Congressional Budget Office, increasing the federal minimum wage from $7.25 to $15 an hour would boost the income of 17 million Americans but would additionally put an astounding 1.3 million individuals out of work.
This is one of many reasons that 75% of U.S.-based economists advise against the jump from $7.25 to $15 per hour.
Economic theory suggests that the higher the wage is, the less quantity of labor is actually needed. Simply put, labor becomes pricier to carry out for businesses which acts as a hindrance when providing sufficient, workable hours for employees.