Minimum Wages as a Terrible Anti-Poverty Program, Part 2

The Unbroken Window has more along the lines I wrote about last week.  It is all good, here is an excerpt:

MaCurdy found that less than 40% of wage increases [from a minimum wage hike] went to people earning less than twice the poverty line, and among that group, about third of them are trying to raise a family on the minimum wage. In other words, something like 1 in 8 people who do receive the minimum wage (and ignoring any potential adverse effects of it), are actually in what you might call the “targeted” group. 7 out of 8 people who receive minimum wage increases fall outside the targeted group.

 

2 Comments

  1. tmitsss:

    And we can't have people maintaing Park Service property for free
    http://wtop.com/dc/2015/04/volleyball-players-claim-park-service-spikes-free-play/

  2. bigmaq1980:

    "7 out of 8 people who receive minimum wage increases fall outside the targeted group."

    Great data point!