America Must Increase the Minimum Wage :: Increase Minimum Wage Essays

Things like child care and sick leave and equal pay. Things like lower mortgage premiums and a higher minimum employ. These ideas will pull ahead a meaningful difference in the lives of millions of families. That is a fact. And thats what all of us Republicans and Democrats alike were sent to Washington to do... -- President Obama, State of the Union address In the United States nominal Wage is approaching record lows. Even with recent increases inflation is one of the primary(prenominal) reasons that workers are being paid less for dig than they were back in the Seventies. There are about 3 million workers in the United States that worked full time stratum round last year and still fell below the National poverty level. If everyone earns exactly the same amount of money, then the income distribution would be perfectly equal. If no one earns each money except for one person, who earns all of the money, then the income distribution would be perfectly unequal. In a nor mal society Income Distribution is usually somewhere in the middle of perfectly equal or unequal. When a small number of people start receiving a large portion of the income in a society, the government tries to find ways to redistribute income. Governments try to stop the rich from getting richer, and the poor from getting poorer in order to achieve a slap-up balance in income distribution. Minimum wage laws are a way that the federal and state governments balance income distribution. Minimum Wage is considered a worth floor. Minimum wage laws determine the lowest price possible that any employer must pay for labour. In the traditional minimum wage model the quantity of supplied labor is greater then the quantity demanded. Minimum wage is above equilibrium price and quantity. Minimum wage prevents labor supplied and labor demanded from moving toward equilibrium price and quantity. Minimum wage levels become the floor and wages can not fall below the floor price. In the fi rst two Minimum wage graphs a study that was done in New Jersey to show the effects of a minimum wage increase in affair. One of the main arguments against increasing minimum wage is that it would cause an increase in job loss. The graphs show that there was not a huge difference in employment when New Jersey after they increased minimum wage from $4.