Comment by pydry
20 days ago
It's not "settled" not because it isnt true - Dube, Lester, Reich proved that conclusively that it is.
It's "debated" because raising the minimum wage hikes usually come out of profit margins: https://cepr.net/documents/publications/min-wage-2013-02.pdf
If there's one thing the business community and the econ think tanks it funds can all agree upon it's that any policy that involves sacrificing profits is Bad. Global warming denial and this both come from the same source.
it's debated because it's impossile to settle. Otherwise set the minimum wage to $5000 per hr. See how it works out
That's not a convincing rebuttle. Saying that "drinking water is healthy" is controversial because "drink 1000 litres in a day and see how that goes" does not help the conversation.
That’s a perfectly fine response when the entire counter argument is “raising minimum wage is fine because everyone magically does better business to support it”.
That’s ridiculous on its face because there isn’t any higher level of productivity so someone in the economy is eating that loss.
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It is a convincing rebuttal.
Same for your water example. At some point, water stops being healthy, without knowing at what point, you can't just ask people to just drink more water, otherwise they may die. In fact people have died for that reason.
At some point, increasing minimum wage will cause unemployment and destroy companies. Maybe we are at that point, or maybe not, without a bound, there is no way to tell.
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