That assumes each company is willing, honest and there is no greed involved,
No, not in the slightest. I'm assuming market forces. You know, the thing that is the backbone of capitalism.
... and assumes you have no common sense,
Yeah, great argument there. 'If you don't agree, you must lack Common Sense ®'.
... because anyone with a mind can see that what i said is exactly what happens each time it happens,
You may have a mind, but I have a spreadsheet. Lets see if we can find your theory in operation.
The historical unemployment rate can be found here:
http://data.bls.gov/pdq/SurveyOutputServlet
You have to fill in the fields yourself because the form only works with the POST method. But the data goes all the way back to 1948, which should be plenty to demonstrate your effect if it's there.
And here is a list of all the changes to minimum wage laws:
http://www.dol.gov/whd/minwage/chart.htm
We'll start in 1950, since it's the first year we have data in both charts. On Jan 25th, 1950, the wage was raised from $0.40/hr to $0.75/hr. That's a pretty big hike. Ok, so the unemployment rate in 1950....went down. All year. W-a-a-a-y down. So, strike one. But, that was the trailing end of a recession where the unemployment rate spiked. Who knows, maybe the effect is just too small.
So, the next hike in the wage was March 1, 1956. It went up to $1. And the unemployment rate.....went up 0.3%. And then back down. Actually, the unemployment rate was fluctuating but level throughout that period. So, no, unemployment didn't spike up here either.
That takes us to September 3, 1961, a modest raise to $1.15. And it was, pretty much totally flat. It went up 0.1%, then down by 0.2% the next month, and down for several more months following that. I think that's strike three.
I've poured over this data before, and I think it's pretty difficult to come away from it claiming what you do. It certainly isn't a foregone conclusion that what you are predicting is true, as obvious as it may seem to you. And certainly, you can find cases where unemployment went up after a wage hike, but you can find just as many where it went down, or where it was flat.
and why now the gap between the rich and the poor is higher than ever.
Right. The problem with the rich is that we aren't giving them enough money, and the problem with the poor is that we're giving them too much. That makes loads of sense.
Pipe dreams never take reality into consideration and entry level jobs are not for making a living for life on and supporting families.
Keep making those claims, but if you want to show what you are claiming, you're going to have to resort to the actual data. I've given you the sources you would need. It's really just not there. But please, go right ahead and prove me wrong. I'd like to see how you crunch the numbers to make them come out your way.
