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From 2010 to 2019,the minimum wage in CT has been raised from 8.25 per hour to 10.10 per hour.The fact reminds me whether a higher minimum wage benefits to society. While ahigher minimum wage can actually improve the living quality of some people,there are lots of “side effects” of higher minimum wages which can seriouslyharm our society. Minimum wages shouldn’t be raised because a higher minimumwage increases the costs of companies which results in a wide range of layoffand the higher unemployment rate, higher minimum wages may give rise to theblack market for workers, and a higher minimum wage doesn’t increase theincentives for workers.

https://patch.com/california/temecula/rivco-unemployment-reaches-historic-low-temecula-rate-even-lower

Although people can be poor orhave the lowest live quality without a minimum wage, a minimum wage can reduce alot of job positions, which means people can hardly find a job because theemployers don’t want hire as many people as a wage higher than 10 dollars forexample. Dissenters might say that with a higher minimum wage every year,unemployment is even lower. However, that is because of the increase inproductivity which is caused by the improvement of technology. Also, people whocount for unemployment are people who are looking for jobs but haven’t get onejob, so when people are resigned because of the minimum wages, they won't beconsidered as one part of unemployment. There is a concept called price floorin economics. A minimum wage is a kind of price floor which will cause excesssupply of workers and shortage in job position, and result in unemployment.

https://www.detroitnews.com/story/news/local/michigan/2018/08/22/michigan-minimum-wage-order-ballot/1067574002/

Peoplewho have lower wages can be incented by a higher wage or award. Without aminimum wage, employers have more money to pay extra for the workers whocompleted more jobs, so the employees are willing to work harder in order toget a higher salary. However, when there are minimum wages, the employers areless willing to pay for incentives, and employees knew that they can get 10 dollarswith a less passionate state in working or a less quality in working, they willbe indolent. So the results from the minimum wage turn out that a minimum wagereduces the incentives for employers as well as the efficiency of producing. Forexample, suppose that orchard workers who can pick 30 oranges in an hour canget 12 dollars, otherwise, there are only 8 dollars for picking more than 25oranges less than 30. Originally, there are 50 workers is trying to pick 30oranges, and 50 workers can only pick 25 oranges. Then, there is a law said theminimum wage is 10 dollars. The orchardist doesn’t want to pay 10 dollars forworkers who can only pick 25 oranges, so he cancels the incentive policy. Now,everyone can get 10 dollars for picking 25 oranges, so people who originallycan pick 30 don’t want to pick 30 oranges without 4 more dollars.

https://www.intelligencesquaredus.org/debates/abolish-minimum-wage

When the government raises theminimum wage, the employers are not legitimate to pay for a wage lower than10.10 dollars. However, there are lots of people are looking for a job evenwith a wage lower than 10.10 dollars, and the employers want to pay for a lowerwage, so a lower wage matches the desire for both employers and employees.People might say that people who don’t want to work with a wage lower than theminimum wage because there is a subsidy for the unemployed, but apparently thesubsidy is not enough. In 2015, protestors are arrested in front of a car washin Brooklyn, industries like car washes have been suited for paying wages lowerthan the minimum wage. Since New York government increase the minimum wages,the higher minimum wages caused many car washes to close. Instead of paying theminimum wages, the industries hire workers illegally to reach a lower cost tocompete with other car washes industries(Epstein). 

Althoughlots of people want to have a higher minimum wage, they didn’t think about thesituation that they won’t be employed anymore with a higher minimum wage. Aminimum can benefit people who get the job, but we need to think more than justthese lucky people. We should think about the efficiency, people who cannot getthe job and the lawbreakers.

Work Cited

 

Epstein,Jim. “The $15 Minimum Wage Is Turning Hard Workers Into Black MarketLawbreakers.” Reason.com, Reason, 11 Oct. 2018,reason.com/reasontv/2018/10/11/the-15-minimum-wage-car-washes.

“Should the Federal Minimum WageBe Increased?” Should the Federal Minimum Wage Be Increased?, 25Aug. 2015, minimum-wage.procon.org/.

 

Woodwc.“Why We Shouldn't Raise the Minimum Wage Rate.” Mineral Museum, 26Mar. 2017, sites.jmu.edu/econ488/why-we-shouldnt-raise-the-minimum-wage-rate/.

 

Hall,Jacob. “Why We Shouldn't Raise The Minimum Wage.” The Odyssey Online,Odyssey, 13 Nov. 2017, www.theodysseyonline.com/wendys-and-the-minimum-wage.

 

Mitchell,Daniel J. “Real-World Examples of How the Minimum Wage Harms Workers | DanielJ. Mitchell.” FEE, Foundation for Economic Education, 20 Oct. 2018,fee.org/articles/real-world-examples-of-how-the-minimum-wage-harms-workers/.