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[Politics] Topic: Does raising minimum wage increase inflation? |
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#26 Posted: 2/8/2012 9:41:45 AM QUOTE Originally Posted by rooster010: your dollar will buy less and less regardless of minimium wage fluctuation err mandates 
False
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In economics, inflation is a rise in the general level of prices of goods and services in an economy over a period of time.[1]
When the general price level rises, each unit of currency buys fewer
goods and services. Consequently, inflation also reflects an erosion in
the purchasing power of money – a loss of real value in the internal medium of exchange and unit of account in the economy.[2][3] A chief measure of price inflation is the inflation rate, the annualized percentage change in a general price index (normally the Consumer Price Index) over time.[4]
Inflation's effects on an economy are various and can be simultaneously positive and negative.
Negative effects of inflation include a decrease in the real value of
money and other monetary items over time, uncertainty over future
inflation may discourage investment and savings, and high inflation may
lead to shortages of goods if consumers begin hoarding out of concern that prices will increase in the future. Positive effects include ensuring central banks can adjust nominal interest rates (intended to mitigate recessions),[5] and encouraging investment in non-monetary capital projects.
Economists generally agree that high rates of inflation and hyperinflation are caused by an excessive growth of the money supply.[6]
Views on which factors determine low to moderate rates of inflation are
more varied. Low or moderate inflation may be attributed to
fluctuations in real demand for goods and services, or changes in available supplies such as during scarcities,
as well as to growth in the money supply. However, the consensus view
is that a long sustained period of inflation is caused by money supply
growing faster than the rate of economic growth.[7][8]
Today, most economists favor a low, steady rate of inflation.[9] Low (as opposed to zero or negative) inflation reduces the severity of economic recessions by enabling the labor market to adjust more quickly in a downturn, and reduces the risk that a liquidity trap prevents monetary policy from stabilizing the economy.[10] The task of keeping the rate of inflation low and stable is usually given to monetary authorities. Generally, these monetary authorities are the central banks that control monetary policy through the setting of interest rates, through open market operations, and through the setting of banking reserve requirements.[11]
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MVP
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#27 Posted: 2/8/2012 9:47:54 AM
WHAT DOES THIS MEAN TO YOU? 
Hint: welcome to the Problem 
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bowlslit |
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#28 Posted: 2/8/2012 1:53:29 PM Lets give a great big hand to those that mistakenly believe that minimum wage jobs were designed for people to support a family on.
Even though I clearly brought up the point earlier in the thread. Props to those that clearly understand this concept.
DJ I'm afraid you don't. |
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bowlslit |
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#29 Posted: 2/8/2012 1:58:36 PM If you ASPIRE to work a minimum wage job and nothing more, you are a complete loser and are probably selling yourself short.
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#30 Posted: 2/8/2012 2:02:45 PM The last time the min wage was increased was in 2009
It was increased to
$5.85 in 2007 $6.55 in 2008 and then $7.25 in 2009
I dont think inflation has been a problem for the last 5 yrs.
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djbrow |
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#31 Posted: 2/8/2012 2:03:17 PM QUOTE Originally Posted by bowlslit:
Lets give a great big hand to those that mistakenly believe that minimum wage jobs were designed for people to support a family on.
Even though I clearly brought up the point earlier in the thread. Props to those that clearly understand this concept.
DJ I'm afraid you don't.
What don't I understand?
The fact that yoyu made a sweeping statement, clearly lacking any factual support, then use a slippery slope to support said statement, then point out that anyone that disagrees with you is wrong?
No, I think I do understand. 
The reality is that $1.50 increase in minimum wage on a two earner family can absolutely be designed to allow a frugal family to survive, based on the additional money per year.
And an increase in minimum wage for a part-time earner can be the difference in a family being able to afford health insurance, which may prevent a financial disaster based on medical issues.
If your point was that the small businesses in America are hurt by an increase in minimum wage because it reduces their profits or causes price increases which make it harder to compete against Walmart who can import without penalty, then I'll agree with you on changing that law. |
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#32 Posted: 2/8/2012 2:07:44 PM QUOTE Originally Posted by bowlslit:
If you ASPIRE to work a minimum wage job and nothing more, you are a complete loser and are probably selling yourself short.
Irony at its finer level.
Perhaps some people simply want to support their family as best as possible and that means taking any job they can find.  |
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#33 Posted: 2/8/2012 2:12:23 PM
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#34 Posted: 2/8/2012 2:20:58 PM QUOTE Originally Posted by djbrow:
Irony at its finer level.
Perhaps some people simply want to support their family as best as possible and that means taking any job they can find.
If I hadn't used the word ASPIRE then your point would carry some weight. But, I did use the word and then you mistakenly accused me of painting with a much broader brush than I actually did. |
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#35 Posted: 2/8/2012 2:27:41 PM QUOTE Originally Posted by bowlslit:
If I hadn't used the word ASPIRE then your point would carry some weight. But, I did use the word and then you mistakenly accused me of painting with a much broader brush than I actually did.
Aspire: to seek to attain or accomplish a particular goal
If one wants to support his family, one may aspire to work at a job that pays minimum wage.
Perhaps you should aspire to be more verbose and use a phrase like "if one remains in a minimum wage job while having other options...." |
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#36 Posted: 2/8/2012 2:35:14 PM QUOTE Originally Posted by rick3117: The inflation issue may be mitigated by the fact that lower wage earners tend to spend a higher percentage of their disposable income, honestly as far as debates for opposing a higher minimum wage go, the inflation justification kind of falls flat, especially amid the quantitative easing which is designed inflation, it is kind of a moot point in that regard. At least this bailout goes to the lower earners and not the typical corporate cronies. If there were any data point that would deter increasing the minimum wage right now, it might be that it is a straight up fact, that increases in minimum wage exacerbate unemployment.
Kind of screwed up that last sentence, let me try again.
If there were any data point that would deter increasing the minimum wage it would be the correlation between higher minimum wage and higher unemployment.
When we are just crawling away from 9% I am not sure any political entities want to shoot themselves in the foot like that.
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#37 Posted: 2/8/2012 2:38:10 PM QUOTE Originally Posted by djbrow:
Aspire: to seek to attain or accomplish a particular goal
If one wants to support his family, one may aspire to work at a job that pays minimum wage.
Perhaps you should aspire to be more verbose and use a phrase like "if one remains in a minimum wage job while having other options...."
Ok....l did follow the aspire word with 'and nothing more'. Is it really necessary to try to hold me to the mistaken standard or the standard in light of the sentence structure that I actually used?
There is no ifs ands or butts about it.. The context of my sentence was pretty clear. Aspire and nothing else has exactly the meaning that you're trying to coach me into....only I was already into it BEFORE you coached me.
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#38 Posted: 2/8/2012 2:54:42 PM I wonder djbrow if you are a decent chess player? I wouldn't guess so.
The fact is that inspite of the fact that you assumed I didn't craft my sentence carefully...I actually did, and was going to follow it up with an explanation. I erased the explanation to see who would get caught in the trap.
The other fact is that my replies today were in response to Don Juans post that screwed up this thread on page one. I forgot about you being the other dj and when you replied I just went with it. |
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#39 Posted: 2/8/2012 3:22:44 PM
If the plan is to bump people from 7.25$ up to 10.00
40 hour x 10.00 = 400$
40 hour x 7.25 = 290$
so that is an additional 110$ per week
52 wks x 110$ per week = 5,720$ per year
Of the 76.5 million people paid by the hour in the United States in 2006, 2.2% make minimum wage or less
so roughly 1.7M people earn minimum wage
x
5720 per year
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9,626,760,000
10B$ cost for one year,,,,,,,
If for ten measily billion, we can put an extra 100$ per week in the pockets of the people working those piss miserable jobs, I'm not going to waste any energy griping about it.
We could end the mortgage interest deduction ( you know, the method the government uses to dupe people into signing up for large mortgages and rewarding them for paying more interest to the banks and more property taxes to the local gov), and still be about 100 BILLION to the good!!!!!
Think who benefits from that!
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#40 Posted: 2/8/2012 3:31:21 PM QUOTE Originally Posted by rick3117: The inflation issue may be mitigated by the fact that lower wage earners tend to spend a higher percentage of their disposable income, honestly as far as debates for opposing a higher minimum wage go, the inflation justification kind of falls flat, especially amid the quantitative easing which is designed inflation, it is kind of a moot point in that regard. At least this bailout goes to the lower earners and not the typical corporate cronies. If there were any data point that would deter increasing the minimum wage right now, it might be that it is a straight up fact, that increases in minimum wage exacerbate unemployment.
correct, relative to how the government is openly destroying the purchasing power of the currency by using taxpayer dollars to make investors whole, you have to be ok with sounding like an fool for sweating out the guy that's getting a bump on his minimum wage.
We all should learn some latin and get in the habit of asking yourself one question, in order to see the true motive of all these laws and political actions
Cui bono? (who benefits)
who benefits from setting a higher floor on what amount you are allowed to sell your labor for? where does that 110$ per week end up? certainly not into a savings account of the minimum wage worker
hint : All.Devouring.Rents
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#41 Posted: 2/8/2012 4:04:49 PM QUOTE Originally Posted by bowlslit:
I wonder djbrow if you are a decent chess player? I wouldn't guess so.
The fact is that inspite of the fact that you assumed I didn't craft my sentence carefully...I actually did, and was going to follow it up with an explanation. I erased the explanation to see who would get caught in the trap.
The other fact is that my replies today were in response to Don Juans post that screwed up this thread on page one. I forgot about you being the other dj and when you replied I just went with it.
If the trap was your inability to formulate a coherent position with extrensic evidence and reasoning and articulate as such, and being called out on that, I guess I did fall, hook, line, and sinker.
As for chess, there are plenty of gambling websites we could set up for a 'match.' Your posts have done nothing to leave me  as to your chess prowess and fortitude.  |
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#42 Posted: 2/8/2012 4:29:56 PM QUOTE Originally Posted by djbrow:
If the trap was your inability to formulate a coherent position with extrensic evidence and reasoning and articulate as such, and being called out on that, I guess I did fall, hook, line, and sinker.
As for chess, there are plenty of gambling websites we could set up for a 'match.' Your posts have done nothing to leave me as to your chess prowess and fortitude.
Im trying to think of the word that means somthing to the effect of 'trying to claim a small victory when you actually lost'
That word is escaping me now...
You may be the king of using big words to help you jump to a wrong conclusion. Inteligent people know how to discern the truth. |
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#43 Posted: 2/8/2012 4:31:25 PM
Does Pyrrhic Victory work? |
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#44 Posted: 2/8/2012 5:10:33 PM QUOTE Originally Posted by be easy: How many people in the labor force work a minimum wage job? If the plan is to bump people from 7.25$ up to 10.00 40 hour x 10.00 = 400$ 40 hour x 7.25 = 290$ so that is an additional 110$ per week 52 wks x 110$ per week = 5,720$ per year Of the 76.5 million people paid by the hour in the United States in 2006, 2.2% make minimum wage or less so roughly 1.7M people earn minimum wage x 5720 per year ------------------------------ 9,626,760,000 10B$ cost for one year,,,,,,, If for ten measily billion, we can put an extra 100$ per week in the pockets of the people working those piss miserable jobs, I'm not going to waste any energy griping about it. We could end the mortgage interest deduction ( you know, the method the government uses to dupe people into signing up for large mortgages and rewarding them for paying more interest to the banks and more property taxes to the local gov), and still be about 100 BILLION to the good!!!!! Think who benefits from that!
Genius. You've set the Gold Standard in debating yet again. |
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#45 Posted: 2/8/2012 5:17:21 PM
If we raise the min wage to $10/hr, what do we do with the people who are currently making $10/hr? Do we keep them there, which doesn't seem fair, or do we raise their pay to $12 or $13/hr? |
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#46 Posted: 2/8/2012 5:19:31 PM QUOTE Originally Posted by canovsp: No one has addressed the question I brought up earlier:
If we raise the min wage to $10/hr, what do we do with the people who are currently making $10/hr? Do we keep them there, which doesn't seem fair, or do we raise their pay to $12 or $13/hr?
Life isn't fair.
Some will see a raise from a minimum wage increase, others will not. |
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#47 Posted: 2/8/2012 5:23:53 PM QUOTE Originally Posted by Renton:
Life isn't fair.
Some will see a raise from a minimum wage increase, others will not.
If I were working at a job for years and have gotten raises based on my time with the company as well as my performance I would be pissed. Someone who just joins the company is now making the same money as me? |
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#48 Posted: 2/8/2012 5:25:56 PM QUOTE Originally Posted by canovsp:
If I were working at a job for years and have gotten raises based on my time with the company as well as my performance I would be pissed. Someone who just joins the company is now making the same money as me?
Happens all the time.
Like I said, life isn't fair but that is reality. |
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#49 Posted: 2/8/2012 5:27:24 PM QUOTE Originally Posted by rick3117: Bowl,
Does Pyrrhic Victory work?
Its close but not what I was thinking. A true Pyrrhic victory would mean that I had taken some form of massive casualties.
Even though he so elequently attempted to say that I hadn't thought of those that were only working min wage jobs out of necessity...I in fact did account for just that. He simply failed to read that far into my statement.
He then jumped to a conclusion, tried to lambaste me for his failed conclusion....and then tried to claim I was the one who was incoherent.
As I said before the inteligent among us would see that as what happened. |
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#50 Posted: 2/8/2012 5:31:11 PM QUOTE Originally Posted by bowlslit:
Im trying to think of the word that means somthing to the effect of 'trying to claim a small victory when you actually lost'
That word is escaping me now...
You may be the king of using big words to help you jump to a wrong conclusion. Inteligent people know how to discern the truth.
I don't claim victory when the opposing party is akin to an intellectual special olympic contestant.
By the way, intelligent has two 'l's. |
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