The After Effects Of Michigan's Minimum Wage Increase

Economists explain why lost jobs, shuttered businesses and fewer training opportunities are likely with mandated wage increases

Eight economists explain what an increased minimum wage means for Michigan. Watch their videos at www.mackinac.org/20157.

Despite overwhelming evidence from economists on both sides of the political aisle, Republicans in leadership positions in the Michigan Legislature pushed for an increase to the state's minimum wage.

They were rewarded for their efforts when Republican Gov. Rick Snyder signed the increase into law late last month.

By 2018, employers across the state will be forced to pay at least $9.25 an hour to workers. Forced increases to the minimum wage will continue in 2019 and beyond because the wage will be adjusted to the rate of inflation or 3.5 percent, whichever is lower.

The mandate will be phased in over the next four years. As has proven to be the case with other arbitrary increases, the people who the increase is intended to help most will suffer worst.

Others problems will occur, as well. Local economies will suffer. Mom and pop businesses will struggle. Training opportunities will wane for some workers and minorities will lose opportunities to enter and advance in the workforce. Those are the conclusions of eight economists who have studied minimum wage increases. They shared their thoughts with the Mackinac Center for Public Policy. Watch their videos here.

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See also:

More People On Food Stamps After Past Minimum Wage Increases

Who Is Behind the Minimum Wage Increase Drive?

Bars, Restaurants Could See 280 Percent Increase In Costs With Minimum Wage Ballot Proposal

Schauer, Other Michigan Dems Call For Higher Minimum Wage While Paying Their Interns Nothing

Debate Du Jour: Minimum Wage Takes Center Stage


Related Articles:

Study: $15-An-Hour Minimum Wage Would Kill 281,000 Michigan Jobs

Sen. Gary Peters Wants Higher Minimum Wage — Except for His Unpaid Interns

Potential Corporate Welfare Binge Risks Second Michigan ‘Lost Decade’

Paid Leave Mandate Raises Stakes in 'Punitive' Move Against Employers

Overcriminalization Study in The Detroit News

Forbes publishes Vernuccio op-ed on minimum wage protests

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Participants in the 2016 Detroit Children's Business Fair show their grasp on how markets work. Featured are responses to the such thoughts as hoarding profit for personal gain, penalizing those who earn more and regulating private business.

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