Thesis Paper

In: English and Literature

Submitted By Jody11284789
Words 908
Pages 4
Raising the minimum wage will not help the economy but hurt it
Rough Draft
Jody Dunham
Course Name (i.e. EN102 English Composition II)
Mrs.Romera
09/05/2014
Miller-Motte College Online Programs

Raising the minimum wage will not help the economy but instead put more people on state assistance. When looking into a few resources about the effects the minimum wage raise will have on the economy I have found some pretty devastating results that show how the economy will pay for this so call raise. The one that everyone thinks will save us all from an economic collapse. If you raise the minimum wage you must also raise the cost of living to match the pay increase. Here, I show you an example of this “Fast food restaurants would have to raise prices by nearly two-fifths. This would cause sales to drop by one-third and profits to drop by over three- quarters.” (Shark, James) “As it is the minimum wage is already $3.30 less than it was in the year 1968, and the data does not reveal a significant link to unemployment.” (Cassidy, John) However, this is with the minimum wage as it sits now without a marginal increase. If it increases dramatically the cost of living increases dramatically too. As with any situation when you spend more you must pay for it from somewhere else. “The higher wages are not free money. The increased cost must either be absorbed by either an employer, which is impossible for an employer who already operates on a shoe string profit margin. Otherwise, it must be passed on to the workers, in the form of reduced hours and benefits, and consumers, in the form of higher prices. Either way, someone pays.”( Shannon, Erin) When this happens employees are either laid off because the employers can’t afford to keep them all and it starts with the last one hired if the first one fired process and usually means that they have not been there long…...

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