The Ben Shapiro Show Debunked: Minimum Wage
May 8, 2021
Dive into the misconceptions surrounding minimum wage laws and how they're influenced by consumer behavior. Explore the dynamics of supply and demand in determining wages, from high-profile athletes to everyday workers. Discover the potential negative impacts of raising the minimum wage, particularly for young and entry-level workers, and how these changes could threaten small businesses. The discussion highlights the risks of imposing wage increases during economic downturns, leading to job losses and the rise of automation.
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Minimum Wage Fallacy
- Minimum wage is based on the false idea that employers hoard profits.
- Wages depend on product price and labor market dynamics.
Labor Market Dynamics
- Wages are a price for labor, set by supply and demand.
- Minimum wage jobs have high supply, limiting wages.
Minimum Wage Consequences
- Raising minimum wage pushes unskilled workers out of the market.
- Employers then favor college grads for low-skill jobs.