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Reevaluating the Benefits of Minimum Wage

            Today the debate over the minimum wage is often between those who argue that higher minimum wages produce fewer employment opportunities for our youth and those who argue the minimum wage benefits those living in poverty. Numerous studies have produced facts and statistics that support both sides of the minimum wage debate. We will cover these pros and cons throughout this paper. .
             The minimum wage was first enacted into law as part of the Fair labor Standards Act of 1938. The original minimum wage applied to workers engaged in interstate commerce and the production of goods for interstate commerce. Prior to the Federal Labor Standards Act when states were adopting their own, minimum wages only applied to women in the form of "protective labor legislation."" This legislation initially served to justify the maximum hours a woman could work, because there were biological differences between men and women. During this period it was assumed men did not need this type of protection but a woman, because of their weaker position and their natural susceptibility to be exploited, needed a greater level of protection. However after the Constitution was amended in 1920 to give women the right to vote, the United States Supreme Court began to strike down state minimum wage laws on the grounds that they were now a violation of women's liberty of contract. The differences that may have been assumed before this change in 1920, were no longer valid. .
             The court began to uphold the constitutionality of minimum wage during the 1930s, because now it appeared minimum wage was essential to the maintenance of economic stability. This perception was fueled by the Great Depression when wages began to bottom out. Many in the American business community were opposed to a legal minimum wage, as they thought it would represent some type of abridgement of their property rights. There were also many that supported this law because they thought it would lead to greater overall productivity.


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