The Instigator
Austyn1030
Con (against)
Losing
0 Points
The Contender
Oromagi
Pro (for)
Winning
36 Points

The Increase of Minimum Wage

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Post Voting Period
The voting period for this debate has ended.
after 7 votes the winner is...
Oromagi
Voting Style: Open Point System: 7 Point
Started: 8/17/2013 Category: Politics
Updated: 3 years ago Status: Post Voting Period
Viewed: 2,863 times Debate No: 36778
Debate Rounds (3)
Comments (13)
Votes (7)

 

Austyn1030

Con

This is a first but I want someone to prove me that the Increase of Minimum wage will help the everyday American... So I will state my opinion first... The increase of Minimum wage put more money in Americans pockets? yes? I agree with this statement. BUT with that increase you are putting more stress on Employers pockets which in the long run with make them increase there cost rate. So yes it puts more money in Americans pocket but in the long run, cause prices to go up and there in summary dosent change a darn thing
Oromagi

Pro

I'll accept your challenge.

Con's theory is perfectly sound on paper: an increase in the minimum wage should translate into higher prices, contributing to inflation and nullifying the increase.

In the real world, however, economic forces are much more complicated. However much theory says it shouldn't, study after study shows that base wage increases have a minimal impact on prices and that base wage increases are strongly correlated to economic improvement. Economists differ strongly on the relative value and importance of the minimum wage, but history shows that economic strength typically improves after minimum wage hikes and that jurisdictions with higher minimum wages enjoy stronger economies than jurisdictions with lower or no minimum wage law. I will try to briefly demonstrate that minimum wage increases have historically resulted in little inflationary effect, but are strongly correlated to economic growth.
Debate Round No. 1
Austyn1030

Con

Thank you for accepting....

You cant sit here and think that what pro is saying will relate to every business... That might work with big business because they can afford too. BUT think about the small family owned businesses, They don't have the money to be spending more money on employees so that causes them to have to raise their prices. You know what they say, Small business are the key to the economy.

So here's my question for you:

1. Lets say you work minimum wage at a grocery store, the bill has been passed and you just got a raise. Yay that's all good but wait, your boss cant afford to pay you more, So in order to be legal he has to jack the prices up causeing more people to not shop there. Now he's making no money. you loose you job ( adding to unemployment ) and the Business goes bankrupt. Add those business up and you have a falling economy. So what are your thoughts about that PRO
Oromagi

Pro

"According to a poll of 500 small business owners conducted on behalf of Small Business Majority, 67 percent of these firms favor boosting the minimum wage from the current rate of $7.25 an hour and adjusting it annually as the cost of living rises" [1]

Why? Because savvy small businesses understand that min. wage hikes improve the economy, stabilize turnover, and contribute little to inflation.

Small bus. in Australia accounts for 95% of GDP [2] compared to 46% U.S. GDP and Australia's min. wage is twice that of U.S. ($15.96 USD) yet maintains unemployment @ 5.4%, 32% lower cost of living and better qual. of life than US (4 largest cities rank in global top ten).

Look at Costco vs. Sam's Club. Costco pays 42% better avg salary
+better benefits, yet its grocery prices avg 3.6% LESS because Costco employee turnover is 6% vs Sam's 44% turnover[3]
Happier, experienced employees provide better cust svc. and bring in $21,805 profit per emp. vs Sam's $11,615.

See comments 4 cites
Debate Round No. 2
Austyn1030

Con

But that's just it Pro those are polls. Ok so let me go with another statement. The more money given the more hours you lose.
Oromagi

Pro

Minimum wage earners only represent 4% of the US workforce, and that's mostly comprised of teenagers. One might not suppose that adjusting the wage for this small sector would significantly impact the economy, but min. wage increases ripple up into middle class salaries as employers retain wage hierarchies. This has the effect of pushing unused capital at the top of the pyramid down to the bottom where it is quickly spent, improving consumption and economic demand, which leads to higher employment.

Minimum wage increases drive employers to improve efficiency. Rather than relying on a pool of cheap labor to take up the slack, employers seek out tech improvements, working smarter not harder.

The higher the bottom rung is set, the more people prefer employment to criminal alternatives, boosting the market.

Minimum wage laws improve work ethics, reduce absenteeism, and reduce turnover. In tandem, these effects result in significant improvements in efficiency across the economy.
Debate Round No. 3
13 comments have been posted on this debate. Showing 1 through 10 records.
Posted by TXMatt 3 years ago
TXMatt
Someone mentioned the benefits of past base wage increases in hystory. They are demanding a 100% increase. That puts a Wendy's employee making way too close to my salary that I did the time and education to get here. I want my 100 % Increase. I'm in medicine. If we started demanding a sliver of what they make off us think how much you be hearing about high health care. In the past we have had a freer market. A market that assured the Darwinistic function of modern human economy and existence. The reward for hard work and being proud to be better than your peers is what fueled the American economy up to recent. This Santa Claus government tinkering with the natural selection of a free market system no longer makes it a free market. I feel the only thing that holds me back in obtaining my goals faster is our government restricting and taxing me and everyone else to pass out charity to the underdeserving and capable. Allow the market to again spread it wings and take off the shackles and you will again see exceptional America.
Posted by natertig 3 years ago
natertig
Posted by natertig 3 years ago
natertig
The do gooders believe that by passing a law saying that no one should get no less that $7.30 an hour or $7.35 an hour, they are helping the poor, but they are doing nothing of the kind. What you are doing is to assure that people whose skills are not efficient to justify that kind of wage are unemployed. If I know I am going to HAVE to pay my employees $7.50 or more, why in the world would I hire a poor person who isn't as intelligent when I can hire a more well off person who has more intelligence. This is why teen unemployment is so so high. They are not smart enough and productive enough to be payed 7 or 8 dollars an hour, so they will not be hired. Instead, a more capable and older adult will get the job.
Posted by Shadowguynick 3 years ago
Shadowguynick
Inflation occurs even if we didn't se the system in place today. What makes gold better than paper? They are both equally useless.
Posted by mubaracus 3 years ago
mubaracus
Increasing minimum wage will at the very least slow down a company or business's likeliness to hire somebody because they will have to first increase the pay of all the people that work for them.

This removes the incentive to hire because they will obviously have to redo their budget. It might help in the long run but will undoubtedly begin in some form of a disaster.
Posted by Austyn1030 3 years ago
Austyn1030
I put 1000 or less cause I want to see how much convincing you can do without a bunch of extra.. its a challenge correct
Posted by Oromagi 3 years ago
Oromagi
1,000 character limit is murder!
Sorry for all the abbreviations.

Here are citations for Pro from round 2. I dont think this is not a violation of debate protocol- citations would have eaten half of my argument space

[1]http://m.cbsnews.com...

[2]http://australia.gov.au...

[3]http://hbr.org...
Posted by Austyn1030 3 years ago
Austyn1030
1000 or less
Posted by Mikal 3 years ago
Mikal
if you change the word limit to more than 1k I will take this
Posted by Austyn1030 3 years ago
Austyn1030
This Country is in so much debt because we print more money then we have in the bank to back It up... Research all the way back when we used gold and silver to trade... There has to be something in value behind the paper money we use here.
7 votes have been placed for this debate. Showing 1 through 7 records.
Vote Placed by Juan_Pablo 3 years ago
Juan_Pablo
Austyn1030OromagiTied
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Total points awarded:05 
Reasons for voting decision: Pro won this debate. He cited more sources and made more convincing arguments. Con didn't really provide evidence to support his position.
Vote Placed by bsh1 3 years ago
bsh1
Austyn1030OromagiTied
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Total points awarded:06 
Reasons for voting decision: Con asks questions. Pro gives evidence and analysis. Really, this was no contest. You can win a debate without clash, and Con didn't even attempt to engage in adequate clash.
Vote Placed by yoyopizza 3 years ago
yoyopizza
Austyn1030OromagiTied
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Total points awarded:06 
Reasons for voting decision: I've been on the fence about the topic of minimum wage increases, but PRO will be happy to know I'm leaning towards increasing minimum wage. Great arguments and citations PRO, and the conduct was even.
Vote Placed by Mikal 3 years ago
Mikal
Austyn1030OromagiTied
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Total points awarded:05 
Reasons for voting decision: This was simple enough. Sources vs a one round sentence. Pro provided more stable arguments and Con seemed not to care or know the effects of the resolution that he stated
Vote Placed by LevelWithMe 3 years ago
LevelWithMe
Austyn1030OromagiTied
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Total points awarded:05 
Reasons for voting decision: Con didn't really make arguments he just made statements(to include a single sentence only in the last round. Pro used sources, Con failed to use any at all.
Vote Placed by wrichcirw 3 years ago
wrichcirw
Austyn1030OromagiTied
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Total points awarded:06 
Reasons for voting decision: Convincing and substantiated by PRO. I'm not wholly convinced of his cbs source, but the rest of his sources and arguments are legit.
Vote Placed by medv4380 3 years ago
medv4380
Austyn1030OromagiTied
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Total points awarded:03 
Reasons for voting decision: Pro's main point in round 2 was that a hike in the minimum wage was it "improve the economy, stabilize turnover, and contribute little to inflation". This went completely uncontested in Round 3 by dismissing the first part of the data as a "poll", and ignoring the second half the Australian economic data which was supporting evidence for the poll.