July 9th, 2009
The Economic Effects of a Minimum Wage Hike
Chip Hunter, associate professor of Management and Human Resources, talks with SmartMoney magazine about the economic benefits of a federally mandated minimum wage hike to $7.25/hr, set to go into effect on July 24.
According to think tank estimates, the mandate will increase wages of approximately 4.5 million workers and will raise hourly wages by $1.6 billion per year.
Hunter says the wage hike may have the impact of pumping more money into the economy.