Online Shopping Essay - 300 Words

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Introduction:
The minimum wage is an important example of price floor. Nowadays, in order to stick up for the labors’ rights, minimum wage is necessary. But, when relate to the whole market, minimum wage also cause so many problems. Generally speaking, I am against it. Many economists have different ideas of the minimum wage. Advocates consider that a higher minimum wage makes the poor better of. At the time, they also think that it is a necessary way to stick up for the labors’ rights. On the contrary, opponents note that a higher minimum wage causes unemployment and encourage teenagers to drop out of school. Moreover, the higher minimum wage makes skilled people useless. In my view, although minimum wage laws can set wages, they cannot guarantee jobs. If the government doesn’t intervene, the higher minimum wage may cause unemployment. The higher minimum wage means the wage above the equilibrium wage. The quantity of labor supplied more than the demand. So it causes unemployment. What is more, more and more teenagers drop out of school because of the higher minimum wage. Pursuing a higher minimum wage becomes teenagers’ strong desire. Higher minimum wage also has some adverse effects. As I wrote before, higher minimum wage makes experienced people useless. Because of minimum wage, the labors’ marginal revenue product is higher than marginal cost. In other words, they make contribute to the society, but they are fired because of higher minimum wage principles. As time goes by, more and more labors are fired because of this. So, less labor causes less output. All in all, there are different effects of minimum wage. When it relates to morality, it is good to pursue demands-money. But when it relates to economic and the benefit of the country, it may not good enough. Show More

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