Washington has the highest percentage of annual job growth in small businesses according to a Paychex/IHS survey. Looking at just that we can see a connection with minimum wage and job growth. Increasing the wage should make it easier to employ people simply because of the higher wage that is being offered. So rather than killing jobs, it would actually make it easier to hire and employ people. .
Now let's take a look at how the increase of minimum wage can affect our economy. As we know by now increasing the minimum wage creates more jobs. Putting more money in the pockets of working families, therefore giving them more spending power. As stated earlier the working class is the group that spends more because they make the bare minimum. So when they get a little extra cash on the side they can buy stuff they wanted but couldn't get in the past. A rise in consumer spending is important for economic stimulation. A significant factor why businesses don't hire is directly related to low consumer demand. So as consumer spending rises more jobs will be created to feed consumer demand. As minimum wage workers spend their new surplus of money, pumping more money into our economy will only have a positive impact on our GDP. As studies show "Increasing the federal minimum wage to $9.80 by July 1, 2014, would raise the wages of about 28 million workers, who would receive nearly $40 billion in additional wages over the phase-in period." That is $40 billion more that is going to be spend into the economy, thus creating many new jobs. Also in this quote "Across the phase-in period of the minimum-wage increase, GDP would increase by roughly $25 billion, resulting in the creation of approximately 100,000 net new jobs over that period" This shows that increasing the minimum wage has many benefits for our economy.
Even with all the benefits of increasing the minimum wage there is still the other side that disagrees on this subject.
