hat it artificially raises wages above the equilibrium level, resulting in decreased demand for workers and resulting in unemployment. Second is the concept that employers will be forced to increase their prices in order to pay for the wages, and that inflation will result when minimum wages are imposed. There is also the political argument that a minimum wage results in a subsidy for the poor which causes disincentives to seek additional training or gain additional skills (this is based on the first economic argument against the minimum wage).
At the heart of the conservative view is the economic principle of supply and demand. According to the conservative view, increasing the minimum wage results in decreased demand for workers since workers must now be paid more. This is a shift along the demand curve. At the same time, there is an increase (movement along the supply curve) in the number of workers willing to work at the new wage. This results in a surplus of workers, or unemployment. While this is occurring, according to conservatives, there is
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