In James Sherks article "higher fast food wages: higher fast food prices" he writes "The typical restaurant has a profit margin of just 3 percent before taxes" (Sherk). With a raise in minimum wage, the small and less profitable businesses would be hit a lot harder than some of the bigger companies. With only a small profit margin for some businesses, how would this increase help their business? What would a business have to do to keep a profit? .
Secondly raising minimum wage to fifteen an hour we would be making people lose their jobs and hurt our fragile economy even more. Tim Worstall states in his article "the absurdity of a $15 minimum wage" that "This is simply an absurd demand. There would be very large unemployment effects from such a raise meaning that many people would simply lose their jobs" (Worstall) and probably less hours for workers. Now there is a ton of unemployed citizens. Looking to the government wondering if the government is going to do anything or how they are going to support their family. The business cannot afford hiring more workers. The competition for a minimum wage job would skyrocket. For a teenager looking to get their first job with no experience what so ever compared to an experienced person looking for a job. They would stand no chance compared to the experienced worker.
Lastly how would the effects of a fifteen dollar minimum wage have on the employee? The employee is the strength of a business. With no employees the business has no help. Well a raise in minimum wage help them then? No, because it just means little hours or being fired due to the business not being able to carry the amount of workers they have employed. The employee of a minimum wage job works mostly as a first job or an extra job to help pay the bills. With many of these workers being young and new to the working field, they would have little to no experience managing there money.