An Economic Argument for the Minium Wage
(Sources at the bottom)
Some additional notes: In order to keep the video short I simplified some things. Firstly, the minimum wage should probably be indexed to unemployment so it does not have harmful effects during recessions. Secondly, I am aware of the many other anti minimum wage law argument that exist. This video is meant to address the most common one often used by libertarians. Thirdly, I am aware that there are more recent studies on the min. wage that show negative affects. I think there are large methodological flaws with them, but I had to draw a cut off point somewhere and a full review of the empirical data would take eons.
The minimum wage has no negative effect:
Hundreds of economists endorse the raising the minimum wage:
Who is paid the minimum wage:
" Data from the Department of Labor show that most minimum wage-earners are young, part-time workers and that relatively few live below the poverty line. Their average family income is over $50,000 a year. A minimum wage hike, then, is a raise for suburban teenagers, not the working poor."
People work harder when paid more:
70% of minmum wage earners work part time.
A brief history of the change in methodlogy and opinon on minimum wage reseach in economics:
The surveys were taken from a books called "The Economics Anti Textbook" which can be found online (illegally) for free.
Typical opposing prediction on the effects of the minimum wage: