Lets assume 15 dollars an hour happens

[alexw]

I love the liberal response to logical arguments: Gibberish because they cant refute the argument. John Steward is an idiot btw.

It was a gibberish argument. A gibberish response was given to highlight the fact that the argument was also gibberish.

[alexkeren]

mathematically proven mcdonalds can double ALL of their employees salaries and pay, from the last fry cook to the CEO. and the average price increase would only be .50-.85 cents. math, how does it work? http://www.businessinsider.com/mcdon...s-money-2013-7

Your math fails to account for the ripple effect of raising all minimum wage jobs. Like the delivery drivers that bring the supplies to each restaurant, the bakers who make the buns, etc.

Then it trickles down to the farmers, because gas prices will go up. Even a 5 cent increase per gallon is a lot when you purchase thousands of gallons of fuel a year.

[Gestopft]

This article gives some real-world examples of what happens to restaurant prices. One restaurant had a .5% price increase in response to a 4.6% wage increase, others had a 1.4%-1.7% increase in response to a 25% increase in the minimum wage.

Actual real-world data shows that price increases are WAY below wage increases.

[Super Friendly Kitty Cat]

If the minimum wage were increased to $15 an hour, prices at fast food restaurants would rise by an estimated 4.3 percent, according to a new study. That would mean a McDonald’s Big Mac, which currently goes for $3.99, would cost about 17 cents more, or $4.16.

The study from Purdue University’s School of Hospitality and Tourism Management also found that in order to compensate for the higher cost of employee compensation at limited-service restaurants, or those without table service or tipping, if they decided to change food sizes rather than prices, the Big Mac would shrink somewhere between 12 and 70 percent.

The price increases would be a good deal larger if the minimum wage were raised to $22 an hour, or average private sector pay: the authors found they would increase by 25 percent, raising the price of a Big Mac by about a dollar.

The study notes that it doesn’t take into account the costs of turnover or any savings gained from higher wages. “People often hypothesize that if you raise pay and offer benefits, turnover will go down. I don’t think we answered the question of whether that reduces turnover,” Richard Ghiselli, professor and head of the School of Hospitality and Tourism Management, said in a press release. In 2013, the turnover rate for franchises was 93 percent, and it can cost $4,700 per worker who leaves. A previous study found that for every 10 percent increase in the minimum wage, turnover drops by 2.2 percent, and a $15 wage would come with $5.2 billion in savings for the fast food industry.

http://thinkprogress.org/economy/201...-wage-big-mac/

So an estimate from "researchers", probably students, is your basis in fact?

You would have to ignore every conceivable fact about labor cost affecting the price of an item to believe a big mac meal would only increase by $.17.

[Faroth]

15$ does seem a lot though for some jobs.

It's also a lot in areas where the cost of living is lower.

$15/hour in San Francisco is not the same as $15/hour in Harlingen, TX.


The $15/hour minimum wage argument originated in California and New York, where higher cost of living dictates a higher minimum wage.

[Self Inflicted Wounds]

Because economic mobility for those in the lowest-income bracket is so easy that it only takes a snap of a finger and, whala, they now have a 40 hour a week, full-time job making enough money to support themselves. Boy that was simple, why don't more people do that!

Weird, I'm in that bracket! And Weird, I work AND go to college full time! CRAZZY! I guess snapping does work!

[Paranoid Android]

This is why I can't handle debates on MMO. I didn't say making $15 an hour, I said $15 or close to it. If I make $19 an hour (more than double minimum wage) and then all the sudden I'm making only 26% more than minimum wage where as before I was making ~42% more.

The difference is what matters.

Aren't you still making your so call $19/hr? So now you are just pissed that someone is making almost as much as you by percentage? What is the problem.

Again I don't know you whole life and this being the internet I'm sure I would not get the whole story.

[MCMLXXXII]

So an estimate from "researchers", probably students, is your basis in fact?

You would have to ignore every conceivable fact about labor cost affecting the price of an item to believe a big mac meal would only increase by $.17.

Enlighten us with the cost of labor on one Big Mac

[Chrysia]

So an estimate from "researchers", probably students, is your basis in fact?

You would have to ignore every conceivable fact about labor cost affecting the price of an item to believe a big mac meal would only increase by $.17.

Or, you know, a PhD Professor and Department Head, which you'd know if you'd followed the link in the article.

[Kujako]

It's also a lot in areas where the cost of living is lower.

$15/hour in San Francisco is not the same as $15/hour in Harlingen, TX.


The $15/hour minimum wage argument originated in California and New York, where higher cost of living dictates a higher minimum wage.

Problem is that the federal law has to apply equally to everyone. So a federal minimum wage will end up being too high in some areas and too low in others. Ideally local government would set the wage, but they're not so the Fed has to step in and treat us all like children.

[MCMLXXXII]

Well this conversation just took a right turn into attacking people cause they fat... How about we stay on topic???

As for those people with cardboard signs, do a little history lesson. Those same "angry people" fought to end child labor, get the minimum wage, 40 hour work week, vacation days, and many other people complaining take advantage of every damn day. So please continue your baseless claims.

Damn those people opposing CEO's

[Cricket22]

The entire point of the minimum wage's creation was to ensure every full time worker could afford a basic standard of living. It's amazing how many people forget that and claim "but they're just high school jobs!?"

You're trying to bring up facts and historic points to people who willfully ignore them, and will come up with a single instance where it doesn't apply as proof of how you are wrong.

No, that was right after the Great Depression, very few women worked outside the household, no fast food restaurants, and teens who worked were mostly mowing lawns, babysitting, or delivering papers --for which minimum wage still doesn't apply. It was an entirely different world back then.

We don't live in that world anymore. Technology has replaced a great deal many jobs that used to require nothing more than a strong back, and a lot of those jobs carried significant health hazards, and still do.

Gee, until recently my husband worked in construction on govt. contracts that paid from $45-$90hour, depending on the job, location, and hazards involved. Rather dangerous work, often hundreds of feet up in the air....

If he could have made a living wage flipping burgers at McDonald's, why would he have taken those types of risks?

BTW, those hazardous construction jobs that pay fairly well are still available.

[Forogil]

mathematically proven mcdonalds can double ALL of their employees salaries and pay, from the last fry cook to the CEO. and the average price increase would only be .50-.85 cents. math, how does it work? http://www.businessinsider.com/mcdon...s-money-2013-7

The math works badly if you have the wrong assumptions, as that study.

At the end of the link there is a link to someone examining it in more detail:
http://www.cjr.org/the_audit/a_big_m...e_huffingt.php

So, the Big Mac would likely cost 1$ more. I also assume that if wages increased across the board the price of the food-ingredients would also increase. But I wouldn't care since I don't regularly eat at McDonalds.

[Super Friendly Kitty Cat]

Gas prices are not equivalent.

Increasing minimum wage increases the purchasing power of the workers at a far greater extent than it increases price of goods. Thus, increasing demand, and keeping prices from rising dramatically.

Prices will rise. But nowhere near the rise of purchasing power.

How will you have purchasing power if everything you want to purchase goes up in price?

This is more than a McDonald's issue.

Probably everything you consume is brought to you buy someone making less than $15 an hour. Not to mention the ripple effect of skilled and experience people demanding more money as well.

Cable bill will rise
Phone bill will rise
Rent will dramatically increase
Any consumer goods you purchase will increase
Gas prices will rise, which have already been shown to increase the price of everything, so another price hike on things already increased.

[MCMLXXXII]

No, that was right after the Great Depression, very few women worked outside the household, no fast food restaurants, and teens who worked were mostly mowing lawns, babysitting, or delivering papers --for which minimum wage still doesn't apply. It was an entirely different world back then.

We don't live in that world anymore. Technology has replaced a great deal many jobs that used to require nothing more than a strong back, and a lot of those jobs carried significant health hazards, and still do.

Gee, until recently my husband worked in construction on govt. contracts that paid from $45-$90hour, depending on the job, location, and hazards involved. Rather dangerous work, often hundreds of feet up in the air....

If he could have made a living wage flipping burgers at McDonald's, why would he have taken those types of risks?

Because this paid more?

[alexkeren]

People have run the numbers on this stuff. If you bumped the minimum wage in the USA to $15, the price of a burger would increase by less than 5%;
https://www.purdue.edu/newsroom/rele...3-percent.html

Wage increases cannot translate to a similar price increase, not in any industry, because wages are not 100% of any price point.

Yet another study that didn't account for all the jobs that earn minimum wage between the farmers/ranchers and the Fast Food place that received it's supplies.

Too many people in this thread who don't realize what jobs get paid minimum wage, nor the effects on jobs that make around $15/hr already, especially union jobs.

[MCMLXXXII]

How will you have purchasing power if everything you want to purchase goes up in price?

This is more than a McDonald's issue.

Probably everything you consume is brought to you buy someone making less than $15 an hour. Not to mention the ripple effect of skilled and experience people demanding more money as well.

Cable bill will rise
Phone bill will rise
Rent will dramatically increase
Any consumer goods you purchase will increase
Gas prices will rise, which have already been shown to increase the price of everything, so another price hike on things already increased.

They will probably rise a bit. But that also means everyone elses salary rises.

[Chrysia]

How will you have purchasing power if everything you want to purchase goes up in price?

This is more than a McDonald's issue.

Probably everything you consume is brought to you buy someone making less than $15 an hour. Not to mention the ripple effect of skilled and experience people demanding more money as well.

Cable bill will rise
Phone bill will rise
Rent will dramatically increase
Any consumer goods you purchase will increase
Gas prices will rise, which have already been shown to increase the price of everything, so another price hike on things already increased.

Except all those prices have been increasing, regardless of the lack of a minimum wage increase. Also, historically, minimum wage has not substantially driven inflation.

[Bullettime]

No, that was right after the Great Depression, very few women worked outside the household, no fast food restaurants, and teens who worked were mostly mowing lawns, babysitting, or delivering papers --for which minimum wage still doesn't apply. It was an entirely different world back then.

We don't live in that world anymore. Technology has replaced a great deal many jobs that used to require nothing more than a strong back, and a lot of those jobs carried significant health hazards, and still do.

Gee, until recently my husband worked in construction on govt. contracts that paid from $45-$90hour, depending on the job, location, and hazards involved. Rather dangerous work, often hundreds of feet up in the air....

If he could have made a living wage flipping burgers at McDonald's, why would he have taken those types of risks?

Because despite popular opinion, many people don't settle making just the bare minimum. The problem with the current minimum wage is that it's helping create a cycle of poverty and inhibits growth.

People would still take that job because it pays significantly more and thus allow a ton more luxury purchases.

[MCMLXXXII]

Yet another study that didn't account for all the jobs that earn minimum wage between the farmers/ranchers and the Fast Food place that received it's supplies.

Too many people in this thread who don't realize what jobs get paid minimum wage, nor the effects on jobs that make around $15/hr already, especially union jobs.

20 workers with a $7.5 go to $15 = $150
1 CEO $1000 = $1000

yeah that changes much
Okay there is not a ceo for every 20 workers but you get the idea