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Wage would hurt black teens

Additionally, the job gains in February marked the 89th consecutive month employment has grown, which is a new record. But despite this positive news, there are still some troublesome long-term trends. Since there has been a decline in the percentage of people ageto who are employed, and the decline has been particularly severe among men. Over this same period, there has also been a substantial decline in the percentage of teenagers who are employed, and new research links this latter decline to a rising minimum wage. Despite the magnitude of this decline, there are few studies that try to explain it. A new study by economists David Neumark and Cortnie Shupe fills this gap by examining three potential causes: a rising minimum wage that could reduce employment opportunities for teens; an increase in the returns to education that could cause teens and their parents to focus on school at the expense of a job; and increasing labor market competition from Spanish-speaking immigrants.
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Higher State And Local Minimum Wages May Be Hurting Teen Employment

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Minimum wage would hurt the most vulnerable | The Royal Gazette:Bermuda Opinion

Subscribe to Free Exchange, the CapX podcast Several strengths set the Clemens study and its predecessor coauthored by Michael Wither apart from a large body of research on the minimum wage. Not least among them is its time frame. The paper covers a seven-year period from to , unlike other studies such as the oft-cited paper by David Card and Alan Krueger. That paper, which found no negative effect of the minimum wage, only looked at a period of eleven months. The time frame is critical because the damaging effects of minimum wage increases are often delayed. Immediately after a wage hike, businesses usually do not wish to significantly alter their business plans. Instead of laying off workers, they might raise prices or cut back on fringe benefits.
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High Minimum Wages Were Designed to Hurt Minorities

View gallery However, the teen unemployment rate is higher than the youth, and the black unemployment rates at all ages are always higher than the white ones. Which is exactly what we would expect to see, given that we would expect the disemployment effects of a minimum wage to be visited upon the young, the untrained and those disfavored for other reasons as well. And no, we can't go around shouting that research shows that minimum wages don't change unemployment. Because we really do know that they do change the levels of teen unemployment.
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Questions and Answers Why is teen unemployment rising? High minimum wage rates lead to unemployment for teens. One of the prime reasons for this drastic employment drought is the mandated wage hikes that policymakers have forced on small businesses. Economic research has shown time and again that increasing the minimum wage destroys jobs for low-skilled workers while doing little to address poverty.

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