...New York increased their minimum wage to $15 at the beginning of this year as part of Governor Cuomo’s plan, “Built to Lead Agenda”. This plan “takes the needs of workers and businesses alike into account.” Thus, New York is trying to improve the lives of employees, without hurting the employers in the process. The effects of an increase in minimum wage to workers and companies in New York may be too early to calculate because the year has just begun. Research of other states give insights as to the results of increasing the minimum wage. If New York can increase their minimum wage from $9.70 to $15, can other states follow through? The effects of increasing the minimum wage varies. Supporters believe that an increase in minimum wage “improve...
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...The minimum wage rate is introduced in this essay, with the perspectives of weighing the benefits with that of the costs of the national minimum wage. The essay goes about discovering what exactly is minimum wage and how it impacts the economy. Moreover, the advantages are compared against the disadvantages of the minimum wage rate. Furthermore, it also covers the detailed consequences of increased minimum wage after a research on what economists have surveyed about the recent increase in the minimum wage. Thus, this essay has thoroughly evaluated the pros and cons of implying with the law to allow for national minimum wage in the labor market. The minimum wage act was created in the 1938T as Fair Labor Standards Act, which makes it legally compulsory for the employers to pay their employees for the period of time worked. The minimum wage could be defined as the “minimum rate of remuneration that is must to be paid to a wage employees for the work they have done over a period of time, which cannot be neglected or reduced by individual contract and collective agreement”. The eligibility of minimum wage is that it is allotted to workers who are below 20 years old, for long as the probationary period lasts that is for almost 3 months. The minimum wage rate...
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...The global financial crisis of 2007 – 2008 caused great concern for the World Trade Organisation as they felt that countries would persuade their governments to implement price floors in order to support and restore domestic markets. Price floors are regularly employed in a wide spectrum of industries by governments, as an intervention in the free market, in order to protect producers and suppliers. This is achieved by legally setting a minimum price a good can be sold for, above the equilibrium price (Government Intervention in Market Prices 2014).However price floors are associated with many negative economic implications and disadvantages which encouraged economic inefficiency, such as, an increase in production levels causing surplus, misallocation of resources and higher prices for domestic consumers (Rockoff 2008). This essay will seek to discuss and explain the economic efficiency of price floors in relation to the modern finical crisis using real world examples. Many modern economies are regulated by governments through the implementation of price control methods. This is important for the government to protect its interests, as well as protecting selected producers in the economy from exploitation. One such way in which governments regulate their economy is by applying price floors (Government Intervention in Market Prices 2014). A price floor is the lowest legal price a commodity can be sold for and are targeted at ensuring prices for particular goods aren’t too low...
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...Argumentative Essay: Is it really worth it? LABR 1F90 Haseeb Mohammad 5591979 T.A – Nathan Cecckin March 25, 2016 “I do not support raising the minimum wage, and the reason is as follows. When the minimum wage is raised, workers are priced out of the market. That is the economic reality that seems, at least so far, to be missing from this discussion.” as John Sununu states, raising minimum wage is not a great decision. The minimum wage rate must not increase for the reason that this will put many firms out of business, and will also lower the employment rate. Assuming firms are employing resources at maximum efficiency, increasing the labor wages will cause immense damage. An increase in minimum wage will not help our economic system become efficient; in order to allow our economy to run smoothly there mustn’t be an increase in labor wages. Increasing wage rates will increase the unemployment rate resulting in an increase in inflation allowing an increase in poverty, increasing the minimum wage rate will also increase the expenses for businesses, and lastly it will also affect a majority of high school students. If the industries suppliers’ prices increase along with the wages many industries will start to go bankrupt because of the decrease in demand for the industries’ products, resulting in a decrease of employment for low skilled workers, or young people just as Niels Veldhuis & Sylvia LeRoy explain in their academic journal, “Specifically, he concluded...
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...jobs we get and also the wage rate (Parkin et al 2012). The labour market is a place where workers and employers interact with each other in order labour for wage. Employers in the labour market compete to hire the best labour force while workers compete for the best satisfying job (William E, 2013). The government intervene on this market to regulate workers being exploited from employers, the intervention also create problems for both the workers and employers. This essay will discuss the advantages and disadvantages on government intervention on this market. Firstly, we will discuss the advantages and disadvantage of minimum wage on labour force followed by other government interventions such as taxation. There are several advantages of the minimum wage on workers. The minimum wage could benefit low wage workers (Hui T.W 2013), it could also lead to skill upgrading which will enable workers to earn higher pay is premised on existing skill training and increased opportunities of workers. A general job-specific, professional and executive training course has been implemented by the Singapore government which is being funded to increase workers employability and skills. It also motivates employers to seek improved skill workers which will increase productivity in line with the higher paid wage. Therefore, minimum wages provide a platform to skill upgrading and wage increase whereby enhancing workers to reach their full potential. The minimum wage increases the living standard...
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...Federal Minimum Wage Proposal Research Essay MDH-ECO210 President Obama has proposed to increase the Federal Minimum Wage to $10.10 as well as increase the Earned Income Tax Credit among other items associated with this. There are those who oppose the increase to Federal Minimum Wage as well as those who support this proposal. What we have to question when looking at this increase is whether or not it will actually help the economy or if it will simply raise costs of everything we buy on a daily basis. It is necessary that “businesses need to have money available to pay for labor, materials, power, and other inputs” (McConnell, Brue, Flynn, 315). It is debated if raising minimum wage will stifle these businesses, by increasing their pay rate for labor. There are many factors to consider when looking at this proposal that has a multitude of pros and cons. If this constant debate continues as it has in the previous instances then the typical result will be that most Republicans will oppose the proposal while the majority of Democrats will be in favor of passing the bill. President Obama is quoted as saying in his State of the Union address that “in the wealthiest nation on Earth, no one who works full time should have to live in poverty” (Hassett, Strain, 2013). The case that is made against raising the minimum wage is very simple; by raising the minimum wage it makes it more expensive for businesses to hire employees. Those who retain their jobs will make more money;...
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...CCGL 9018 Final Essay Name: CHAN YIK UID 3035036503 Case study of Wal-Mart Introduction In this essay, the case of Wal-Mart will be discussed by applying the Milton Friedman’s argument on CSR and utilitarianism. Wal-Mart is the largest retailer in the world, however, it is also known for ruthless exploitation of employee, squeezing suppliers, and crushing communities. It has been the Public Enemy No. 1 for a generation of activists and reformers. To cope with these oppositions, Wal-Mart responded vigorously and, instead, announced plans to preserving the environment, fighting hunger, empowering women and providing access to healthy, affordable food. The essay will try to argue the problems of Wal-Mart dominating the world in the retail business to create great profit by giving low wages to the employee according to Milton Friedman and utilitarianism. Also, it will discuss how the plans announced by Wal-Mart deal with the global responsibility. Moreover, how should government involve in this situation. Problem: Low-wages for the Employee 1. Milton Friedman According to Milton Friedman, an American economist and philosopher, the most important social responsibility of a corporation is to maximize profit for its owner- stockholder (Friedman, 1970). He suggested that if a corporation put the focus on being socially responsible, it would make the corporation less competitive with those competitors who did not put much focus on social responsibility. For the...
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...later. They are the fallacies of overlooking secondary consequences and only striking the eye. Hazlitt (2008) showed that the whole of economics can be reduced to a single lesson and the core problem with economic policies can be reduced to a sentence: people should look beyond, looking not merely at the direct but at the longer effects of any policy, then the consequences of the policy influence on all groups rather than merely one specific group. This essay will focus on the application of minimum wage laws. The labour unions and legislation are the main power to create the minimum wages (Brown, 1988). In France, for instance, the minimum wages are extensions of existing trade union legislation. Minimum wage laws are the body of laws which prohibit employers from hiring employees or workers for less than a given hourly, daily or monthly minimum wages. The final purpose of regulate the minimum wages is boosting the production and encouraging the consumption of the employees who have low income. However, these wage laws ignore one real issue, the unemployment. In reality, the employers will not hire the employees who cannot produce goods or provide service. Then the unable workers will be fired by their leaders, which lead to the issue of unemployment. Considering the high costs, these entrepreneurs will shut down their business, because they...
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...problem of income inequality. There are constantly debates over the topic of raising the minimum wage, and with good reason: Between 1979 and 2009, the wealthiest 5 percent of American families saw income increases of 72.7 percent, while the lowest income group in America saw a decrease of 7.4 percent in income. Meanwhile, in the same time frame, productivity has increased by 90 percent. These issues combined have caused a huge wealth gap in America. This is primarily due, of course, to the selfish materialism of those higher-ups who prefer to have millions of dollars for themselves while the very citizens that work for them barely have enough to feed themselves. While this conflict has not yet become violent, it could do so quickly. Think of the French Revolution in the 18th century. It was caused by the poor finally rebelling against the rich who oppressed them. Already, in the present, there are some forms of rebellion, albeit nonviolent. The Occupy Wall Street Movement has protested this income inequality. While there are many different viewpoints on the subject, one solution to this issue is simple in theory: Those with more must give to those with less. If the millionaire CEOs, whose incomes have more than quadrupled since the 1980s, would be willing to sacrifice some of their money so that the workers could just afford to live, the conflict could be solved. Raising the minimum wage and allowing workers a higher income is the simplest and easiest solution that would...
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...Title: Write an essay which uses a variety of sources to analyse the main causes of unemployment. Identify strategies that governments can use to reduce each of these causes. Assess which of these strategies might be most useful in reducing unemployment. Governments often regard reducing unemployment as one of the main economic objectives. Unemployment is the existence that there is labour force able and willing to work but is unable to be employed (Bannock, Baxter, 2011). It tends to follow a cyclical pattern. In the early 1990s, the unemployment began to rise as economies around the world went into recession. On the other hand, in the mid-1990s, unemployment fell as the world was in the period of expansion. The UK is now in a very low level of unemployment. The causes of unemployment can be categorized into equilibrium unemployment and disequilibrium unemployment. It can be classical, cyclical, frictional and structural. This essay will first describe the main causes of unemployment. Then, it will survey the possible policies that can be adopted by the government to reduce these causes. Finally, it will evaluate the most useful policy. Disequilibrium unemployment is the condition that the supply of labour exceeds the demand of labour and the wages remain relatively unchanged (Gillespie, 2011). Classical (real wage) unemployment and cyclical (demand-deficient) unemployment are two possible causes of disequilibrium unemployment. Classical or real wage unemployment will happen...
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...Policy – 5BUS1035 | “The imposition of a minimum wage level may be considered as an ‘unequal’ policy measure which discriminates between workers with high levels of skill/education and those with low levels of skill/education, always resulting in higher rate of unemployment” | | 1411 8794 | 02/11/2015Word Count: 1, 522 | | The statement presents discriminatory issues of minimum wage between those of a higher or lower skill and education, which results in an increased rate of unemployment. It is assumed that, through minimum wage, lower and higher skilled workers are paid equally, rendering the education of higher skilled workers redundant. Higher skilled workers would be more partial to higher paying jobs than that of minimum wage, which consequents higher unemployment. Unemployment results in a number of economic issues as production possibilities are not fully realised. For instance, had workers been employed, there would not be a loss of output produced; this is known as Opportunity Cost. This essay shall cover points concerning minimum wage, occupational choice, return of investments in education, and human capital. The implementation of minimum wage directly affects employment rates especially low skilled workers, and young workers. The two most prevalent arguments are between supply side economists and demand side economists (Richardson IV, O. E., NO DATEa). "Economic consensus has long linked higher minimum wages with higher unemployment," according to the...
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...KRYSTLE HANSEN BARRY KOTLOVE ESSAY ASSIGNMENT ESSAY #1 DOMESTIC MARKET Health care reform is a political and economic topic that has been debated for years. Most recently in the United States under the president Barack Obama's current term he passed a law that most of us Americans refer to as Obama Care but is also known as the Affordable Care Act. This law requires every American to have some sort of health care coverage. However, is affordable health care really that affordable? There are some countries that have national health insurance systems where government uses tax revenues to provide a basic health care package. However, in America most citizens are enrolled in private health care Insurance usually provided by their employer. Health care provided by employers does come at a cost. It does drive up the cost of labor because it’s another cost incurred by the firm and sometimes the employee. Several companies I have worked for in the past have shared the cost of insurance; by doing this the firm does not incur all the costs of health care; the firm also avoids being fined for not providing health care. If the firm does not provide health care and has more than 50 employees the firm will incur of fine of $5,000. Thus, employers are essentially forced to either incur the costs of health care or pass part or all the costs onto the employee, therefore, decreasing the overall amount the employee actually makes. Some employers could use health care benefits as an enticement...
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...Anna Kimmet Mrs. Murphy Eng 1050 Sec. 13 Essay 1 The Challenges of Generations throughout history. History is marked with each generation having had to deal with their struggles in respect to social and economic development. In a book entitled Generation Debt, author Anya Kamenetz discusses some of the struggles that her generation is facing in an economic setting infinitely different from the one that her parents dealt with, merely one generation before her own. Kamenetz outlines how her generations struggles with retrospect to that of her parents and shows the impending graveness of what the future has to hold for future generations. The author defines “generation” as, people within a defined population that during a given time period experience the same important events. Kamenetz compares “human life stages as natural demarcations of growth, like the rings on a tree” (Kamenetz 329). Kamenetz also writes that social and economic structures also decide the divisions between infancy and old age. The author intentionally goes through chronologically and outlines the birth of the term childhood and its effect on people, socially and economically through the centuries. With this timeline given Kamenetz brings the concept of a new life stage forming as a result of the birth of childhood. This new life stage has forced children to go to school longer and seek additional education in order to obtain a job that really does not need further schooling to do. The example...
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...MID TERM EXAM – PLEASE USE THIS DOCUMENT FOR ANSWERING THE QUESTIONS AND THEN CUT AND PASTE ONTO THE ONLINE EXAMS – The exam has five long essay questions worth 20 points each. Each question should be a minimum of three paragraphs of academic information. PLEASE READ THE UNIT FIVE LECTURE PRIOR TO TAKING THIS TEST and REFER TO THE DEPARTMENT OF LABOR WEBSITE ON THE FLSA. * Refer the Unit Lectures, readings & resources and credible sources from the Library or internet to support your responses * Cite any information that you reword, restate or quote in accord with APA guidelines * It is highly advisable to first answer the questions in a Word document and then copy and paste into the exam * Grading rubric can be found in Course Information * Do not cut and paste from sources but use your own words based on the academic data. You can use quotes when you feel it is appropriate. When you quote, restate or reword you still need to cite the data. Safe Assign may be used to prevent plagiarism and to create opportunities to help students identify how to properly attribute sources Question One: Explain what the Job Analysis process is and why it is so important. Remember that the exams require two to three substantiate paragraphs. Research the question first and then answer the question with appropriate academic citations. The job analysis is a process conducted by HR used to identify and determine a particular jobs duties and requirements of that...
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...Primer on Writing an Analytical Essay: If you are at all uncertain how to structure an essay read the following material carefully. Introductory Paragraph: Your first paragraph is the most important part of your essay and should consist of 3 parts: a hook, background, and your thesis: The hook: Grab my attention. Make your first sentence interesting and meaningful Example: If Bill Gates spent $50,000 a minute for the rest of his life, he would still die a wealthy man if he lived for 40 more years. Background: Explain the general issue that you are writing about and the controversy surrounding are assessing, including the title and author’s full name. Example: Many economists lament the growing division of wealth that has marked America in the last two decades. While some this is the basis for America’s economic strength, others feel reversing this trend should be a top priority. In fact, Sue Ackerman in her article “The Rich and the Rest”, suggests that there should be a ten-times rule, whereby the top wage earners could earn no more than tens times the minimum wage. Thesis Statement: This tells me what your position on the topic is as well as how you are going to support it. Example: Her suggestion is ridiculous and should be opposed for three reasons. First of all, it is arbitrary – why should it be 10 times the wealth of the poor and not 8 or 15. Secondly, it is un-American by going against basic...
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