Minimum wage increase hurts economy
Minimum wage increase hurts economy
- January 3, 2011
- David Neumark, economics professor, is featured in the Daily Camera, Brattleboro Reformer and Register-Guard December 30, 2010
From the Daily Camera:
A new year and a new legislative session approach. And with the new year comes a new
minimum wage: Indexed to inflation, Colorado's minimum wage will increase to $7.36
an hour on Jan. 1. Advocates for a higher minimum wage will often tell you that increases
have no effect on the employment rates of low-skilled workers and that these wage
mandates act as a "shot in the arm" to the economy. The first claim has long been
known to be false. A comprehensive examination of two decades of research on the minimum
wage, David Neumark professor of economics at the University of California, Irvine
and William Wascher at the Federal Reserve Board concluded that 85 percent of the
best studies on the subject indicate that minimum wage hikes were met with job losses.
For the full story, please visit http://www.dailycamera.com/guest-opinions/ci_16959910.
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