Update: Now More than 600 Economists Endorse $10.10 Minimum Wage
Two weeks ago, we reported on an open letter in support of raising the minimum wage to $10.10 per hour that, at the time, had been signed by 70 economists. The online version of the letter asked for other economists who have a Ph.D. in the field to sign the letter. Since then, the total number of signers on the letter has risen to more than 600.
The text of the letter:
July will mark five years since the federal minimum wage was last raised. We urge you to act now and enact a three-step raise of 95 cents a year for three years—which would mean a minimum wage of $10.10 by 2016—and then index it to protect against inflation. Senator Tom Harkin and Representative George Miller have introduced legislation to accomplish this. The increase to $10.10 would mean that minimum wage workers who work full time, full year would see a raise from their current salary of roughly $15,000 to roughly $21,000. These proposals also usefully raise the tipped minimum wage to 70% of the regular minimum.
This policy would directly provide higher wages for close to 17 million workers by 2016. Furthermore, another 11 million workers whose wages are just above the new minimum would likely see a wage increase through “spillover” effects, as employers adjust their internal wage ladders. The vast majority of employees who would benefit are adults in working families, disproportionately women, who work at least 20 hours a week and depend on these earnings to make ends meet. At a time when persistent high unemployment is putting enormous downward pressure on wages, such a minimum wage increase would provide a much-needed boost to the earnings of low-wage workers.
In recent years there have been important developments in the academic literature on the effect of increases in the minimum wage on employment, with the weight of evidence now showing that increases in the minimum wage have had little or no negative effect on the employment of minimum wage workers, even during times of weakness in the labor market. Research suggests that a minimum wage increase could have a small stimulative effect on the economy as low-wage workers spend their additional earnings, raising demand and job growth and providing some help on the jobs front.
193 Notes/ Hide
- powpowhammer reblogged this from truth-has-a-liberal-bias
- ebonybanks-blog liked this
- ranoutofrun reblogged this from ekala
- laughingacademy liked this
- fleurdelanuit liked this
- andnonefornonsensebye reblogged this from lemonpixycat
- hakaseheart liked this
- ekala reblogged this from melneta-blog
- glitter-n-gunk-blog-blog reblogged this from quickhits
- melneta-blog reblogged this from blue-author
- corpsecas reblogged this from truth-has-a-liberal-bias
- corpsecas liked this
- whereiputmyfeels reblogged this from truth-has-a-liberal-bias
- auguris reblogged this from truth-has-a-liberal-bias
- youreyestheyglow reblogged this from velvethorn
- shao-fantastic reblogged this from workingamerica
- humanities-wake liked this
- shorterexcerpts liked this
- kowh reblogged this from moniquill
- butchrosser liked this
- liltessaract liked this
- occupyv reblogged this from quickhits
- ca-thar-si-s reblogged this from workingamerica
- ca-thar-si-s liked this
- dragonsroam liked this
- tobychimera-blog liked this
- twistedlandstourguide liked this
- apheline liked this
- rebel-dandy reblogged this from truth-has-a-liberal-bias and added:
600 PHD Economists recommend a min. wage hike in the US.
- aestheticofhunger reblogged this from truth-has-a-liberal-bias
- worthyoursmile reblogged this from truth-has-a-liberal-bias
- liberalbubblehead reblogged this from truth-has-a-liberal-bias
- thecosmicconundrum liked this
- truth-has-a-liberal-bias reblogged this from workingamerica
- possiblythreefourthspeahen reblogged this from moniquill
- workingamerica posted this
- Show more notes