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Liberal Economics & the Minimum Wage

to avoid extra cost is to use fewer workers. Other businesses might close their doors, while still others could simply raise prices. All of these responses would most likely mean fewer jobs for low skill employees (Wimmer, 1996, 211).

Conservative economists also believe that the vast majority of the working poor already earn more than $4.25 per hour. Therefore, increasing the minimum would only have a slight impact on their situation. In essence, the conservative economists believe that there is little empirical evidence to indicate that minimum wage hikes have any long term positive effect on the working poor or income inequality (Burkhauser, 1996, 547).

Liberal Economic Arguments for Increasing the Minimum Wage

The working poor are more often than not those individuals in entry level or temporary job positions. Most of these individuals are just starting out in their working ca

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Liberal Economics & the Minimum Wage. (1969, December 31). In LotsofEssays.com. Retrieved 10:40, April 27, 2024, from https://www.lotsofessays.com/viewpaper/1691819.html