[flamble]

The point of the minimum wage is not to create jobs, it is to ensure that jobs that exist already pay a certain minimum.

The more coherent argument against the minimum wage is that it destroys jobs which cannot be profitable for the employer at the higher wage. The problem with this argument is that the preponderance of research indicates a small magnitude for the elasticity of minimum-wage employment with respect to the minimum wage, generally around -0.05. If a 50% increase in minimum wage results in a 2.5% increase in unemployment in the cohort of people earning near the minimum, and if your aim is to increase the average wage for that cohort, then minimum wage increases do work. The idea that they don't is based on non-quantitative reasoning about the rightness of interfering with markets, or the virtue of work, or a value judgment about a small amount of unemployment outweighing an overall increase in compensation, etc.

I've elided a bunch of detail here, in particular the distinction between minimum-wage elasticity and own-wage elasticity, but this is a good starter:

https://www.gov.uk/government/publications/impacts-of-minimu...

[tekknik]

So in this hypothetical what happens to the 2.5% that lost their jobs? It seems to me that in an attempt to raise the average wage we’re reducing the cohort and removing those with little to no skills and putting them on the gov dole to make statistics happy.