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Essay / Rebuttal of Article: Minimum Wage - 1190
Rebuttal of Article: Minimum WageOver the years, there has been much debate about increasing the federal minimum wage. Some states have taken the initiative to set a minimum wage higher than the federal minimum wage, due to lack of congressional action. Supporters of raising the federal minimum wage have become more vocal recently. This is all the more true as studies have shown that the gap has widened between the richest population and the middle class. Recently, President Obama, due to lack of effort and action from Congress, resorted to executive action to implement the federal tax rate increase. the minimum wage to $10.10 per hour for new federal contracts, starting in 2015. This has naturally given rise to comments, studies that support and oppose this idea, as well as predictions completely opposite to each other. (Davis, S.)The nonpartisan Congressional Budget Office (CBO) examined the impact of raising the minimum wage to two levels, $9.00 and $10.00 per hour. On February 18, 2013, the CBO report concluded that at $9.00, the wages of 300,000 workers would exceed the poverty line; however, 100,000 jobs would be cut by employers to maintain profitability. The impact of a minimum wage of $10.10 per hour on these figures would result in 900,000 workers moving above the poverty line while 500,000 jobs would be lost. Numerically, this appears to support falling wages. House Speaker spokesman John Boehner, a Republican, said "raising the mandatory minimum wage might help some, but it would come with costs, such as fewer people working." He also said the country should focus on job creation and not destruction. (Davis, S.; Furman, J. and Stevenson, B.) On February 19, 2014, the White House and ...... middle of document ...... January 19, 2014) CBO: Minimum, the rise wages could cost 500,000 jobs. USA Today, p.3AFurman, J. and Stevenson, B. (2014). The Congressional Budget Office report finds that the minimum wage increases the wages of 16.5 million workers. Retrieved from http://www.whitehouse.gov/blog/2014/02/18/congressional-budget-office-report-minimum-wage-confirms-consensus-views-beneficiari Witcover, J. (February 21, 2014). Wealth inequality contributes to enduring “class warfare” in politics. Chicago TribuneMcCambridge, R. (2013). Walmart 'offended' by charity crackdown targeting Walmart employees. Retrieved from http://www.nonprofitquarterly.orgRaising the minimum wage for fast food jobs is not a problem. (2014). Retrieved from http://www.drudge.com/news/176267/raising-minimum-wage-fast-food-jobs-notOpinion Line (February 20, 2014) (Is the minimum wage hike a loss for jobs or a gain for the poor? USA today, page 11A)