The advantages from higher minimum wage can have a positive effect on the whole economy flows, while the disadvantages have some negative effects on employment rates. This essay is going to discuss about how higher minimum wage affect economy. Body The effect can be both negative and positive .The supporters assume that a rise minimum wage increases the level of living and reducing poverty and they also think that it is a good way to improve on labor’s right. On the contrary , the others think that it increases unemployment ,specially those workers who are unskilled or handicap and there is possibility of encouraging teenagers to drop out of the school to work. Further more , at this point every small business face trade-off , people running small businesses make decision for changes in strategic by comparing benefits and cost at the margin , as long as the marginal profit exceed the marginal cost .
Minimum wage laws force an employer to pay its employees above a mandated level. On one hand, yes, this means that workers have more money in their pockets. It means they can now go out and spend money which will, in turn, stimulate the broader economy, right? Wrong! The higher wages paid by the employer have to be made up somewhere.
As a U.S citizen and tax payer, I believe the government should worry more about the welfare of our people and the way they live. Instead, it seems the only thing they are concerned about is, health care is costing them too much money, taxes need to be higher, and they want to dump more money into the war on terrorism, yet they still think they deserve a pay raise. The United States Military is a very respectable and honorable organization, that puts their lives on the line every day, and sacrifices the most beloved things in their life. Congress needs to save a little money, so why not stop paying our soldiers while they are fighting a war? Two weeks later, congress gets a raise, because they feel their jobs are more important than anyone else in this country.
In addition, although life is less than happy, they are ambitious for change. A $10,000 check is coming in the mail that could ultimately give them a better life. Until this check comes, however, they all have hopes and dreams of what can be done with the money. Mama’s dream of how to spend the money is the main dream, because it is the one that goes through. I don’t think Mama had too much of an education as most African American people in the 1950’s did not, because Mama uses the money to help her family and does not even think about investing it to make more.
Unfortunately, many times this people living in poverty cannot change their life direction by themselves, unless someone lends them a hand. With that said, I urge that we all find solutions if not end, but minimize social inequality at least. One possible solution that I can think of is that the government should gather a large share of wealth from its taxes and spend it on useful services for the public, such as schools, nonprofit educational programs, etc. Another solution may be that there should be a minimum number required women working on every company in the U.S. with same wages and benefits as men who are completing the same work. This would certainly reduce gender discrimination.
If one household had all the income then it would be one (complete inequality). Inequality in economics encourages individuals to work more. The potential to earn higher incomes produces an incentive for workers to work longer and harder, however, workers will have to give up leisure time in order to gain more work. This will only occur when the extra income is more valuable than leisure time. Output will then be increased, and will boost the economy.
Communism is not a preferable system; I’m here to make your day and to tell you that there is a stronger, more practical system that promotes leadership in our society. Capitalism is a way of running a society or country with different classes. With capitalism, everyone is considered for their own skills, it also has the hope that if someone works hard they can improve their situation. Economic growth is highly promoted, providing individuals opportunities in the market to increase their income and economic growth. It allows individuals to earn money based on the importance of their role in society.
We need them, as they need us In the United States, service jobs are essential to the community, but not enjoyed by everybody: the workers. Barbara Ehrenreich decided to live by herself a service-worker life. During the process, she wrote her article “Nickel and Dimed: On (Not) Getting By in America”, in which she tells us her discoveries and feelings about her new life. On the other hand, another writer, Sonia Nazario, wrote the article “Benefit and Burden”, in which she explains the good and bad facts about immigration. These writers basically write about two completely different topics, but there’s a point we can relate: immigrants are most of the service workers.
Their union deplores industrial action by the profession, but nevertheless it has meant strikes in the UK to force a reluctant government into financing better incomes in the National Health Service, and in the view of many these incomes remain inadequate. The reason is that in a capitalist society incomes depend on the market economy i.e. supply and demand. If you supply a need and are in a minority you can command a high income. In a socialist state, the government evaluates the contributions of all workers and fixes wages accordingly.
We can get involved with some the homeless programs through local organizations at homeowners associations, schools, sororities, and fraternities, but we must defeat homelessness. If combating homelessness means higher taxes to prevent families living under bridges, living in cardboard make shift homes, eating discarded scrapes, and then let’s pay higher taxes. We need to provide more family shelters, so the children get an education and the parents regain some of their dignity and find employment. Employment of the homeless would not only take them off the streets, but also would strengthen the economy. Homeless people all around the world stopped believing in ruby slippers a long time ago, because they know that fairy tales will not get them out of their predicament.