Recently on the election hustling, Jack Warner made the promise that he would increase the minimum wage to twenty dollars. This has to be one of the most economically dangerous statement that one could have mad, and one that is not based on any economic facts. It has been proven that a too high minimum wage actually has the opposite effect that it was intended, and leads to unemployment in the entry level job market. Let us consider the following facts.
(1) People who employ minimum wage earners usually cut back on the hours that these employee work in order to keep their wage bill low;
(2) Alternatively, they increase the work load of those employed so they don’t have to employ more workers;
(3) They pass on this higher wage bill to consumers, so that the cost of goods become higher.
Thank you Jack Warner, for promising goodies that just appear to sound nice and appealing, when in actuality you are doing more to hurt the people. This appears to be another one of Jack’s scams