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Old 07-21-2019, 10:26 PM
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Steven Stamkos' One Timer
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Originally Posted by aapbolt View Post
The new economic report from the federal govt on raising the minimum wage notes that it will cost between 0-3.5 million new unemployed. The report stipulates that the unemployment rate will only grow by 1.3 million. However, the long term impact will increase employment because people will be earning more money and thus will spend more which will increase demand and thus increase employment. Plus many of those who lose their jobs will get jobs at the higher rate of pay which will also increase demand thus creating more jobs.
Would also love link to that source as what I found in Forbes (09/28/2018) says the opposite.

The article starts off by claiming what those in the past have said, which is what you posted.

However a newer study says that over periods of 10 years it is the opposite of what they had originally thought.

The authors of the new study—Paul Beaudry, David Green, and Ben Sand—create a framework to account for the effect an increase in the supply of labor can have on the demand for labor in order to isolate the effect of wages on employment. They find that increases in wages have a negative effect on employment over 10-year intervals.
The study looked at the cities of Seattle, LA, and San Francisco since they have the $15 an hour rate.

What they found was that those you are trying to help, the lower and non skilled employees, are acutely hurt as there are fewer employment opportunities for them.

These results don’t necessarily mean minimum wage increases are bad policy. They do, however, support the notion that higher minimum wages have a cost, namely fewer employment opportunities for lower-skill workers. It’s important that we recognize this cost in any discussion about minimu