The right question to ask about the minimum wage

[loyek590]

the minimum wage should be raised to $15.00 per hour. This would take most minimum wage earners off section 8 housing, food stamps, and Obamacare subsidies.

It's about time Walmart and McDonalds start paying their workers and stop expecting me to pay for them with my tax dollars.

 

[dbphoenix]

the minimum wage should be raised to $15.00 per hour. This would take most minimum wage earners off section 8 housing, food stamps, and ACA subsidies.

It's about time Walmart and McDonalds start paying their workers and stop expecting me to pay for them with my tax dollars.

One way or the other, somebody has to pay. Even if the minimum-wage worker lives on the street, there remains a "cost of living". And if he becomes ill or is injured, we have to pay for it. If he's arrested and put in jail, we have to pay for it. The MW worker doesn't just disappear.

OTOH, if the minimum-wage is increased in, for example, fastfood outlets and those prices are increased, one could argue that the only people who are stuck with "paying for it" are those who frequent fastfood outlets.

Sounds fair.

 

[burn8]

Those of you who like to spot changes in the trend BEFORE they happen should definitely be reading the article above. This is small now but it's going to get much much bigger.

The market does a fine job at setting wages.

-burn8

 

[burn8]

One way or the other, somebody has to pay. Even if the minimum-wage worker lives on the street, there remains a "cost of living". And if he becomes ill or is injured, we have to pay for it. If he's arrested and put in jail, we have to pay for it. The MW worker doesn't just disappear.

OTOH, if the minimum-wage is increased in, for example, fastfood outlets and those prices are increased, one could argue that the only people who are stuck with "paying for it" are those who frequent fastfood outlets.

Sounds fair.

I hope people who like on a single level like this are not actually traders. If McDonalds has to raise their prices, do the laws of supply and demand not apply? People will buy fewer burgers - which means fewer McDonalds employees - which means more people looking for jobs outside of McDonalds - which depresses wages in the next space.

There is one simple rule that it would benefit every supporter of a min wage increase (or one at all for that matter).

There is NO FREE LUNCH.

-burn8

 

[dbphoenix]

I hope people who like on a single level like this are not actually traders. If McDonalds has to raise their prices, do the laws of supply and demand not apply? People will buy fewer burgers - which means fewer McDonalds employees - which means more people looking for jobs outside of McDonalds - which depresses wages in the next space.

There is one simple rule that it would benefit every supporter of a min wage increase (or one at all for that matter).

There is NO FREE LUNCH.

-burn8

You're making some unwarranted assumptions, particularly with regard to demand and supply. Will some people stop buying hamburgers if McDonald's raises their prices? Perhaps. But the price increase wouldn't amount to much, and, as I said earlier, McDonald's hamburgers used to be 15 cents, but increases in prices didn't impede their growth in the least.

If people want the product, they'll pay for it. Whatever growth problems McDonald's and other chains of its ilk are now having are unrelated to wages but rather to changing tastes, e.g., Chipotle.

 

[loyek590]

I hope people who like on a single level like this are not actually traders. If McDonalds has to raise their prices, do the laws of supply and demand not apply? People will buy fewer burgers - which means fewer McDonalds employees - which means more people looking for jobs outside of McDonalds - which depresses wages in the next space.

There is one simple rule that it would benefit every supporter of a min wage increase (or one at all for that matter).

There is NO FREE LUNCH.

-burn8

yes, at some point, you must admit, if the business you work for is not successful you won't have a job
That's why the workers at J.C. Penny are not striking
If all the strikers chipped in, they could buy their own franchise and pay themselves whatever they wanted

 

[dbphoenix]

If all the strikers chipped in, they could buy their own franchise and pay themselves whatever they wanted

Sounds good to me.

Oh, wait, that's socialism. We're supposed to be against that, right? (it's hard to keep up)

 

[loyek590]

Sounds good to me.

Oh, wait, that's socialism. We're supposed to be against that, right? (it's hard to keep up)

or they could just buy MCD on the NYSE

 

[piezoe]

the minimum wage should be raised to $15.00 per hour. This would take most minimum wage earners off section 8 housing, food stamps, and Obamacare subsidies.

It's about time Walmart and McDonalds start paying their workers and stop expecting me to pay for them with my tax dollars.

We have great distortion int he economy because of the minimum wage being far too low. If you want those on government support to go back to work then working has got to pay more then sitting at home in front of the TV. Why would any adult work for 7.25 an hour? (Or 8$ or $9?) That's absurd! We absolutely must force these low paying corporations to pay the real cost of minimum wage labor rather then we tax payers subsidizing their operation.

 

[piezoe]

You're making some unwarranted assumptions, particularly with regard to demand and supply. Will some people stop buying hamburgers if McDonald's raises their prices? Perhaps. But the price increase wouldn't amount to much, and, as I said earlier, McDonald's hamburgers used to be 15 cents, but increases in prices didn't impede their growth in the least.

If people want the product, they'll pay for it. Whatever growth problems McDonald's and other chains of its ilk are now having are unrelated to wages but rather to changing tastes, e.g., Chipotle.

I agree. Many don't realize, they apparently haven't thought this through very thoroughly, most labor in most parts of the country is already paid above minimum, some parts of the deep South being an exception. So if the minimum were to be raised to $10.50, to bring it to what it was in the mid nineteen sixties (in constant dollars), it would affect only those employers who are now paying less than $10.50, and nationally that is only a fraction of the low wage work force. If you are paying $9 now, you're only going up a $1.50, not $2.75, and only on the lowest paid fraction of your workforce. Furthermore, there is practically nothing sold where the entire cost is labor. In virtually every case, only a fraction of the cost of a product is labor, and of that only a small fraction is wage labor below $10.50. (I suppose produce may be one area where a large fraction of the cost may be labor, but that's certainly not true of most goods.) By bringing the minimum up close to the true cost of minimum wage labor we should see a least some increase in the incentive to work, and more people with money in their pockets to spend on consumer goods. But most importantly, we will achieve far less distortion in the low wage labor market.