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Economists Disagree on Whether the Minimum Wage Kills Jobs. Why?

Washington Post (02/14/13) Brad Plumer

A new paper by John Schmitt of the Center for Economic and Policy Research explores the possible responses to an increase in the minimum wage and how it does not have to put a damper on hiring. A hike in the minimum wage could prompt employers to cut benefits, hours, or training, or even delay raises or bonuses for higher-paid workers. Companies also could raise prices, simply make due with fewer profits, or push existing staff to be more productive. A minimum wage increase also could prompt workers to voluntarily work harder, and it could save companies money by reducing employee turnover.