Minimum Wage Is Known As Government

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This essay consists of the valuable information related to the Minimum wages and several areas related to this topic are covered. This essay contains the information that does increasing wages help to reduce the poverty, how these wages law hurt America as well as consequences of $15 minimum wage.

Minimum wage is known as government fixed such amount for the workers on hourly basis that employer should have to pay that amount to the employee regardless of considering the workers qualification, capability. It is the hot topic that increasing the minimum wage would help in alleviate poverty or not. Minimum wages can help in reducing poverty, but it is not used in an effective manner. In under developing or developing countries, the wages can apply to the minority of poor employees only. Most of the time it does not apply on the workers who are self-employed nor in the informal sector where there is large number of poor workers.

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They commonly earn below the legal minimum wage. When there is rise in the minimum wage, it may affect the formal sector that they stop hiring new workers because of the rise in wage (Badger). If they did not hire those people who belongs to the poor households and do not give the job opportunities there must be significant increase in the poverty. It does not help to reduce poverty; however, the labor supply incentives have been playing a significant role to reduce poverty in US and also improve the heath an education of the lower income families in the long run.

American government can implement the wage policy of $15 on hourly basis for the employees, but it cannot order or force companies to hire the employees too. When there is increase in minimum wages, cashiers are wiped out from the drug stores as well as restaurant have taken the place of food trucks (Atkinson,

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