Question

Should the Federal Government raise the minimum wage? Why? Provide supporting documentation for your answer.) Follow APA style for in-text citations and references listed in your paragraph (all answers to postings must include source documentation

Answer 1

Yes, federal government should raise the minimum wage because the minimum wage is not sufficient to meet the inflation and that many minimum wage workers are living in poverty. An increase in minimum wage raises the standard of living of poor people. Increase in minimum wage would have positive effects on the economy because consumers would spend more when they have more money. Increase in minimum wage can reduce income inequality.

But there are opponents who believe that increase in minimum wage will be a burden for employers, especially small businesses. Companies having fixed compensation budget, an increase in minimum wage could result in layoffs or low rate of hiring. Employers may take interest in investing in automated processes, technology and machinery to increase their productivity rather than hiring manpower at a high cost. Companies may outsource labor to other countries where minimum wage rates are lower.

So from the discussion of the both pros and cons of raising minimum wage, we can conclude that federal government should raise the minimum wage to a level which suits both employer and employees. There must be government support for the business owners so that they can adjust their budget to provide an increased minimum wage.

There are differences in state and federal minimum wages. Majority of states have a higher minimum wage than the federal government. So the federal government should raise the minimum wage by reviewing the conditions of both employers and employees.