Why We Must Raise the Minimum Wage

March 16th, 2013

FAKE NEWS for the Zionist agenda

From a CNN Money article in August, 2005 – “…Had the minimum wage risen as fast as CEO compensation since 1990, the researchers calculated, it would now be $23.03 an hour instead of just $5.15. And the average production worker would be making $110,126 a year instead of $27,460….” Certainly, the numbers would be much higher now, over 7 years later. http://money.cnn.com/2005/08/26/news/economy/ceo_pay/

Henry Ford set the example (despite the anger of his fellow executives) by raising the pay of his workers substantially – and pointed out that the workers need to be able to afford to buy the products they produce. Wages have been held down for decades now, while corporate profits and CEO/Executive salaries have skyrocketed.

Would there have been higher inflation? Sure…but as a person who has run and owned several businesses in my life, I can attest to the fact that most businesses have labor costs of 20% – 25% and virtually none have labor costs exceeding 35%. If all hourly wages (except for CEO and Executive pay) were raised 100% tomorrow, the maximum increase in product sales prices to cover it would be 35%…and likely much lower.

That means workers would get a 100% increase in pay, while their costs would only go up 20 – 35%, leaving plenty of additional income to cover their increased costs. There would be additional taxes for them to pay, of course, which they could afford and still have significantly more money left for discretionary spending – while the increased taxes would help balance the budget and pay down the deficit while supporting badly needed programs that are currently being cut because of the self-inflicted budget “crisis”. As a bonus, it would eliminate the “housing crisis” as people could afford to stay in their homes and housing prices would appreciate, giving the middle class homeowner some equity again.

The best possible thing that could happen to this country would be a significant increase in the minimum wage…probably to something in the range of $20-25 an hour. The increased discretionary income for so many people would create immense demand for products and services, which would bring down unemployment, increase both State and Federal tax revenues (which would bring down the deficit while providing funds to pay off the debt and fund social programs instead of cutting them constantly), provide large amounts of revenue to Social Security and Medicare (allowing for adequate cost of living increases to the recipients instead of cuts) and end the current housing crisis by providing adequate income for most people to avoid losing their homes in foreclosure. It would also improve the housing conditions of millions of Americans as well as their health care options. It would even help the wealthy, since the increased demand and product sales would increase their revenues as well.

The real question is – why are the “best and brightest” minds in the country unable to see the obvious?

Source Article from http://www.nationofchange.org/why-we-must-raise-minimum-wage-1363362758