Currently there are many cities, counties and states consider a minimum wage hike. Why? Well it is simple really every time there is an election a podium pushing politician will totally ignore free market realities and real world economic in order to appease the voters and therefore call for increased wages. Many liberals think this is fair, because people should have a fair wage. Many conservatives do not like the idea for free market reasons and or because of Corporate Sponsors to their campaign funds.
One thing minimum wage does in the long-term is actually takes jobs away from the economy, as many small businesses forced to pay higher wages, simply cannot afford it and therefore do with out that labor. If they have to pay more and they cannot raise their prices due to competition then they simply do not expand and that means even fewer jobs.
And yet raising minimum wages means that businesses are forced to find other ways to get things done, such as invest in technology to do the work of humans. What types of technologies might companies invest in? Well minimum wage increases literally guarantee robotic industry investments and the coming age of man versus machines in the job markets. Consider all this in 2006. |
