In 2007, the Federal government demonstrated their ignorance of economics by raising the minimum wage, an action that was guaranteed to kill jobs, whilst simultaneously not increasing people’s wages (simply pricing them out of the market).
So. What were the results? Ball State University commissioned a study to find out. And, it seems, unsurprisingly, the law of economics that has remained constant throughout human history, was proven once again – 550,000 job losses.
According to the study, mostly teenage workers were affected by the hike. The Bureau of Labor Statistics shows that almost 49% of minimum wage workers were between the ages of 18 and 25.
As one commentator noted, "Lawmakers may mean well when they pass minimum wage laws, but they hurt the very people they intend to “help.”