City of Seattle to raise minimum wage to $15/hr
- Thread starter The Berean
- Start date
Thats not thinking, thats a fact. Unless all wages increase commensurate with a minumum wage hike, then others are receiving a wage decrease along with their pay not buying what it used to because of the inflation that comes with those hikes.
Seems this basic economic truth liberals don't seem to get...
If it's a fact, then it's a fact that doesn't comport with the available data. Did you even read my post?
:think:
No, there's a very clear flaw in that. Raising the minimum wage does not automatically raise prices on anything except those things that have no pricing flexibility that also rely on mostly minimum wage workers. That's actually a pretty small set of things. It isn't a zero sum game.
Because the data doesn't support it.
Saved.One.by.Grace
New member
This article was written last year, but I believe it still applies today.
Read article at: http://usconservatives.about.com/od...ervatives-Oppose-Raising-The-Minimum-Wage.htm
Read article at: http://usconservatives.about.com/od...ervatives-Oppose-Raising-The-Minimum-Wage.htm
Then show your data to the contrary...there is plenty of data to show the cost of goods & services in the areas where the MW is raised has been followed by rise in prices to compensate along with cutting back on workers. You cannot make a 5 dollar/hr job worth 15 dollars/hr without prices rising with it...in the end it is just a 5 dollar/hr entry level, low skilled job.
http://mobile.businessweek.com/arti...inimum-wage-goes-up-the-menu-price-also-rises
this will be a great experiment
can't wait to see what happens
but
why can't we start speculating?
many will lose jobs because businesses cannot afford to pay the rate
many will have to move out of the city to find jobs or because they cannot afford the cost of living in the city
many will shop outside the city limits at the nearest walmart
those who do move up to the higher rate will find that they no longer qualify for earned income credit or subsidies for their health care
many union workers whose pay is tied to the minimum wage will get a big pay raise which must be covered by higher prices or higher taxes
yes
it will be interesting
can't wait to see what happens
but
why can't we start speculating?
many will lose jobs because businesses cannot afford to pay the rate
many will have to move out of the city to find jobs or because they cannot afford the cost of living in the city
many will shop outside the city limits at the nearest walmart
those who do move up to the higher rate will find that they no longer qualify for earned income credit or subsidies for their health care
many union workers whose pay is tied to the minimum wage will get a big pay raise which must be covered by higher prices or higher taxes
yes
it will be interesting
Not only that, but it is just common sense.
In order for a business to maintain their profit margin, they would have to either have to cut payroll (use less employees) or raise prices of their service/merchandise.
I posted my data in my response to Angel that she didn't read. I posted a link to the inflation data over the past 70 year or so, and I correlated it to the wage hikes, and it correlates less than half of the time. The situation in your link seem more like anecdotes than anything else.
As anecdotal as the article may seem to you the laws of economics are still in play here. I am not saying that the rise will not be beneficial for some because it probably will but, ignoring the economic fact that when prices go up, demand falls, whether it be the price of labor or the price of a hamburger. This will be a wait and see and I am sure that those in the Seattle area will cope as it is a very affluent area but to say that there will be absolutely no negative affects...hardly.
No dispute about that in itself, but what do you suppose they call a "law" that doesn't actually describe reality?
That's not the issue. There is no rise, most of the time. It makes no sense to talk about the benefits of a rise that doesn't exist. It's like talking about how we're going to spend all the money from our debut collaboration album.
That's a major oversimplification. Do you buy less food if the price of food goes up? Perhaps to some extent, and perhaps you would buy cheaper food, but there is only so much that you can afford to cut your intake of food. Likewise, many businesses need a certain number of employees to operate, and they aren't just going to hire fewer employees as a result of a mandated wage hike. And there is a large overlap between businesses that pay minimum wage and businesses that already try to reduce labor to the fewest bodies possible, so the businesses most effected by this aren't going to be able to cut labor costs a lot.
I don't think anyone would argue that there would be absolutely no negative consequences at all, as I'm sure you wouldn't argue that there are absolutely no negative consequences at all to doing nothing.
And we all know how common sense is always right.
Who said the businesses would be able to maintain their profit margin?
You should check out The Berean's link.
And there we have it, its better to go out of buisness so long as you paid your employees living wages to support their families in entry level jobs. (because bob deserves to support a family of four flipping burgers and tim the teen deserves to have it made and no incentive to work upward later or attend college)
And this is why you dont see extreme liberals starting companies and showing us how its done. They cant, because the businesses would fail, because only an idiot would start a business with no intent of making a profit (unless of course its just a front for criminal activity)
That isn't really the choice. If you are paying people exploitation wages, and still not making any money at it, you probably don't have a real business. Else, you should pay a living wage, and there's nothing wrong with the law insisting upon it.
Right. Because $10.10/hr, or even $15 is "having it made"...
...unless you count Bill Gates, Elon Musk, Steve Jobs, Warren Buffett...to name a few.
It would be foolish to start a business with no eye for profit. But if your road to profitability includes paying people less than fair wages, you don't really have a business plan, and your effort probably is doomed to fail.
And the fact that were having this discussion at all shows it hasn't failed.
If you want to see your liberal policies in action, look at detroit, better yet, go live there for a while, and see how you like it.
yes, and its bleeding residents and businesses.
Not so much.
Balerion the Black
New member
Costco would like to have a word with you. They pay their workers a decent wage and are still profitable. Their CEO's pay is quite modest in comparison to what other companies pay their top executives while squeezing their workers for all they can.
I see the fight over minimum wage as a symptom of a much larger problem with the current state of the economy, namely that companies can get away with paying their employees so little that they need government assistance just to scrape by, while hording billions of dollars in profits for themselves.