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The Effects of the Proposed Missouri Minimum Wage Increase
August 2006 · David A. Macpherson ·
In recent years, the movement to increases minimum wage has been active in states across the country. Advocates of these wage hikes argue that the increases will help low-income families escape poverty. While this argument is emotionally compelling, it ignores the unintended consequences that the proposed increase would create—such as job loss among the most vulnerable employees and displacement of low-skilled adults by wealthy teens. Even worse,… -
Output Prices and the Minimum Wage
June 2006 · Daniel Aaronson, Eric French ·
Most economists believe that an increase in the minimum wage causes higher prices and lower employment. This belief rests partly on empirical evidence, but also on the view that labor markets are competitive; if markets are competitive, then increases in the minimum wage should both raise prices and reduce employment. However, a number of studies in the last decade have challenged these beliefs. Some of these studies… -
The Effect of Minimum Wage Increases on Retail and Small Business Employment
May 2006 · Joseph J. Sabia - University of Georgia ·
Overview A recent study by the Fiscal Policy Institute (FPI) claims that increases in the minimum wage at the state level have had no adverse employment effects. Specifically, the FPI report concludes that states that raised their wage floor above the federal level did not experience declines in small business employment, and, in fact, actually experienced an increase in retail employment. While the FPI study has been… -
The Effects of the Proposed Ohio Minimum Wage Increase
March 2006 · David A. Macpherson - Florida State University ·
In recent years, the movement to enact “living wages” or increases in the minimum wage has been active in states and cities across the country. Advocates of these wage hikes argue that the increases will help low-income families escape poverty. Although emotionally compelling, this argument ignores the unintended consequences the proposed increase would create. Worse, the mandated increase confers its benefits overwhelmingly on employees who aren’t poor… -
Helping Low-wage Americans–The Earned Income Tax Credit: An Effective Solution to an Age-old Problem
January 2006 · The Employment Policies Institute ·
The unemployment rates for demographic groups such as teens and minorities are consistently in double digits. Millions of potential entry-level employees aren’t even counted in these figures because they have given up hope and stopped looking for work. Yet newspapers all over the country advertise jobs paying $10 an hour or more. Many practically beg for applicants. One test of our employment and antipoverty policies should be… -
How Did the $8.50 Citywide Minimum Wage Affect the Santa Fe Labor Market? A Comprehensive Examination
December 2005 · Dr. Aaron Yelowitz - University of Kentucky ·
Overview In June 2004 Santa Fe became one of three cities in the United States to pass a city-wide minimum wage applying to private businesses. The city’s increase to $8.50 an hour-a 65 percent increase-affected all businesses within city limits employing more the 25 people. The wage floor is scheduled to increase to $9.50 on January 1, 2006, to $10.50 on January 1, 2008, and then it…