I agree with you in theory gour, but my concern with the whole thing comes from greed. Say that everyone working minimum wage gets a bump to $10/hr. Let's say for arguments sake that's a $3 raise. Let's say a number of the slightly higher paid workforce gets upset about not making more money and companies say to them well we can't afford to give everyone $3 extra per hour, but we can give you $1. Now costs for labor are up across the board and it's chipped away at the profits a little bit. Do I think companies will accept this and be happy they have employees that are a little better off now? Shit no, if they cared about their living conditions they would have paid them a little more in the first place. They raise prices, profits eventually return to normal, people have more money but everything costs more. Did it really help?
This may not happen they way I envision it, but it seems pretty damn likely to me. In that scenario poor people are still poor and not quite poor people are getting closer to poor. The problem as I see it is the profits at all costs, pay huge executive bonuses for high profit culture in America. That will cancel out minimum wage increases via inflation every time, in my opinion. Unfortunately I don't even know what to do about it. I'd like to live in a society where everyone is prosperous, but how? The way it stands now your best bet is to better yourself and become valuable in some way to command higher salary while unmotivated, unskilled people stay poor. Don't be the guy who's unmotivated or unskilled, or in some cases has a skill people don't feel is worth paying for.
then the next year when minimum wage goes up again they would have to do the same thing over.. tying the income to inflation forces the company to eat the cost. plus youll have more companies generating more sales.
This is where business models that count employees as capital and no just expense comes into place.
raising mininum wage and tying into inflations sets ground floor for expectations of the quality of american life.
outsourcing, wealth distribution and many other issues with the us economy isnt expected to be addressed by this.
yes there will be an initial adjustment on cost of some services and goods but this is healthy inflation.
stagnation of the mininum wage has not slowed down inflation . I dont get this ideology that everyone should have to pay the cost of inflation except the guys who make the most money.
The late seventies were riddles with inflation . it had nothing to do with minimum wage
back to human q tips questiopn of why minum wage should be kept at a specific level.
The government has a mjor impact on inflation. whether its financing their programs or paying debt or bailing out banks
this puts the responsibility of the government to regulate minimum wage in relation to inflation.
Theres something vitally wrong where 25 %to 40%(depending on the metric used) is no better off than a minimum wage worker of 1968.
this is not acceptable and raising min wage and tying it to inflation is a start.
this is a basic principle the us economy was built around and has been fighting for over 200 years. one the has been lost and needs to be found again.