What's most funny is that the video only discusses the negatives that solely impact the poor. Aside from the direct negative consequences, the increased cost of cheap labor will result in increased prices. Businesses won't simply cut their losses and move forward. Goods and services across the board will inflate, hurting the middle/upper class, and eliminating the benefit of the increased minimum wage, since it's now being "taken back" (so to speak) due to inflation.
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[quote]Aside from the direct negative consequences, the increased cost of cheap labor will result in increased prices. Businesses won't simply cut their losses and move forward. Goods and services across the board will inflate, hurting the middle/upper class, and eliminating the benefit of the increased minimum wage, since it's now being "taken back" (so to speak) due to inflation.[/quote] You didn't take into account about the fact that income is higher, so business revenue increases. Extra demand due to higher incomes= Greater production to meet demand = Decrease in cost push inflation. Cost push inflation only goes so far. Inflation is low in the current economy anyway. Most large businesses aren't severely impacted by increased wages by e.g. $1 extra per worker. They're prices will rise by a very small or even negligible amount, since their income is so high.