Economic Outcomes Of Raising The Federal Minimum Wage

â€Å"In 2014, 77.2 million workers age 16 and older in the United States were paid at hourly rates, representing 58.7 percent of all wage and salary workers. Among those paid by the hour, 1.3 million earned exactly the prevailing federal minimum wage of $7.25 per hour. About 1.7 million had wages below the federal minimum. Together, these 3.0 million workers with wages at or below the federal minimum made up 3.9 percent of all hourly paid workers†(Ratio of Minimum Wage). The Federal minimum wage drives debate among people today, and with many wanting the federal government to raise the minimum wage to fifteen dollars, economists have studied and will continue to study the effects of a fifteen dollar minimum. This poses the question: What are the social and economic outcomes of raising the federal minimum wage to fifteen dollars an hour? In both Los Angeles, California and New York, studies show many positives of the fifteen dollar minimum wage. The City of Los Angeles has recently raised their minimum wage to fifteen dollars, and in an effort to support the minimum wage, author Daniel Flaming focuses on the projected industry impacts, economic stimulus, and government and social service benefits that the wage increase may have. A higher paid labor force benefits the industry in Los Angeles by spending more money, and drastically decreasing the amount of employee turnover. Both decreasing employee turnover and increasing the amount the consumer spends will positively impactShow MoreRelatedMinimum Wage Should Be Raised910 Words   |  4 Pagesmaximize the American Dream on the minimum wage† (Benjamin Todd Jealous). In 1938, minimum wage was created by the federal government in order to protect workers by ensuring a minimum of twenty-five cents per hour worked. Though President Roosevelt had the right idea in pr otecting the workforce, something needs to be done to ensure that Americans are getting a reasonable amount of money for the amount of hours they have worked. As Benjamin Todd Jealous stated, minimum wage is not enough for the averageRead MoreU.s. Federal Minimum Wage Essay1162 Words   |  5 PagesThe current U.S. Federal Minimum Wage is $7.25 per hour. In just two years from 2013, the demanded from advocates for raising minimum wage rose from $9 to $15. However, raising the minimum wage is more complex than simply raising the number of federal standard of pay for employees. Relative control groups and other market activities play a part in the outcome of the minimum wage. For example, one instance of market activity was observers said that raising the minimum wage did not hurt individuals;Read MoreThe Minimum Wage Is A Good Or Not? Essay1265 Words   |  6 Pagestopic of minimum wage. What is it? Why people talk so much about it? 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The federal minimum wage has a history that dates all the way back to 1938, and the strong debatesRead MorePersuasive Essay Outline :Minimum Wage964 Words   |  4 Pages Persuasive Essay Outline :Minimum Wage 1 Intro - I want you to think about you r very first job .Were you a Bellhop ,cashier ,bartender ,cooks(fast food ),lifeguard, .Now how about your second job were you a airport worker or child care worker.About how much were youRead MoreThe Economic Case For Raising The Minimum Wage927 Words   |  4 Pages The Economic Case for Raising the Minimum Wage The United States is recognized for its economic opportunities. Thousands come to this country for the chance to improve economic stability and climb the social ladder – opportunities usually not available in their home countries. However, there has been increasing concern regarding American wages compared to the rise in the cost of living. 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