Cost of Living
Every time the government raises the minimum wage, prices must theoretically rise as well. Some states have a cost of living wage that requires a business to add an additional wage to the minimum wage. The workers make more money, then spend more money, and this gradual inflation is related to the rise in cost of living. The minimum wage is an extremely minor part of inflation or cost of living increases. In fact, the minimum wage has not kept up with inflation over the past 30 years. Inflation has much more to do with monetary policy and credit.
Read more about this topic: Economic Issues In The United States
Famous quotes containing the words cost of, cost and/or living:
“One must always be aware, to notice—even though the cost of noticing is to become responsible.”
—Thylias Moss, African American poet. As quoted in the Wall Street Journal (May 12, 1994)
“It breedeth no small offence and scandal to see and consider upon the one part the curiosity and cost bestowed by all sorts of men upon their private houses; and on the other part the unclean and negligent order and spare keeping of the houses of prayer by permitting open decays and ruins of coverings of walls and windows, and by appointing unmeet and unseemly tables with foul cloths for the communion of the sacrament.”
—Elizabeth I (1533–1603)
“... the novel, as a living force, if not as a work of art, owes an incalculable debt to what we call, mistakenly, the new psychology, to Freud, in his earlier interpretations, and more truly, I think, to Jung.”
—Ellen Glasgow (1873–1945)