a thoughtful web.
Good ideas and conversation. No ads, no tracking.   Login or Take a Tour!
comment by Cortez
Cortez  ·  3844 days ago  ·  link  ·    ·  parent  ·  post: How does raising Minimum Wage not cause inflation?

Do you believe it's a good idea to set an increase like this?





b_b  ·  3844 days ago  ·  link  ·  

In a word, yes.

Inflation is a complex system effect that has a lot to do with many factors including money supply and confidence in the government, federal reserve, markets, etc. A minimum wage increase doesn't effect the money supply, because it's businesses who are paying, not the fed. What it would do is to cut into corporate profits, whose wisdom one can certainly argue about. I think the data indicate that it would help, not harm, the broader economy.

Cortez  ·  3844 days ago  ·  link  ·  

Would increasing minimum wage increase the cost of living?

b_b  ·  3844 days ago  ·  link  ·  

Inflation is a broad measure of cost of living. It's measured by CPI and PPI. All you're doing is restating your original question.

Cortez  ·  3844 days ago  ·  link  ·  

Ahhh well thanks B_B for giving me a huge tl;dr on that for the most part. Normally hate trying to read about this because it's normally a huge wall of text.