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by throwawaylinux
1687 days ago
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If you're subscribing to orthodox economics then in that case raising minimum wage would result in job losses. What I think would actually happen is (perhaps some job losses, but) more jobs being pushed underground and laws skirted. I'm not against minimum wages or increasing it as such, but if the lowest paid workers are in such dire conditions, the fundamental problem seems to be that they have insufficient bargaining power. A huge issue has to be illegal immigrant population that largely competes for low wage positions -- I've heard it's estimated about 15 million but could be as high as double that. Absolutely staggering numbers in either case and being concentrated in the supply of low skill labor it hits the most disadvantaged Americans including minorities hardest unfortunately. I know it's verboten to speak about now, but even champions of labor and the disadvantaged such as Sanders talked about the problem before Trump sent everyone off the rails (and/or the corporatists completed their capture of the left-wing side of politics). |
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No, that's just one outcome. I already described another outcome higher up the comment tree: reduction in non-wage benefits.
In practice, you would probably see some combination of outcomes.
> A huge issue has to be illegal immigrant population that largely competes for low wage positions -- I've heard it's estimated about 15 million but could be as high as double that.
The demand curve for labour seems to be nearly horizontal, ie in the longer run more or less labour supplied (almost) doesn't change its price.
> [...] but even champions of labor and the disadvantaged such as Sanders talked about the problem [...]
Are you suggesting that those people who are desperate enough to become nearly right-less illegal immigrants do not count as labour or as disadvantaged?
(I can very well believe that Sanders doesn't care about them, of course.)