The Minimum Wage Creates Unemployment

You said "The theory of marginal productivity " I took the liberty of looking this up. There will be a link in the bottom. In my link, They justify this theory by saying "this is justified by an assumption that the firm is profit-maximizing" So the theory assumes that companies want to maximize their profits. This means that the price floor mentioned earlier does not destroy a business if crossed. It just lowers their profits. We cannot just assume that employers will lay people off just because their profits are down a bit. Employers need a certain minimum amount of people to keep the business running and it's always in an employers best interest to keep productivity above demand so they can expand and account for emergencies. For instance, If I'm an employer and it takes 10 people to run my business for a week and the bare minimum necessary productivity. Then my staff is irreducibly complex. That means that if anybody calls in sick or has a family emergency or gets a flat tire, Etc. My productivity will wall below my demand and I will lose both money and customer loyalty since I'm not consistently producing at the intended speed. This means that even if my profit margins fall below the floor, I'll still want to keep about 13 to 15 people to account for adverse situations. This also allows me wiggle room should demand increase. You said "Some studies go as far as to allege that the minimum wage has reduced unemployment. But this research does not address the fact the minimum wage creates unemployment, Only whether it's made worse. " Those are the same thing, If unemployment goes up, Then that means it's getting worse. And you're right when you said that some studies go as far as to allege that the minimum wage has reduced unemployment. You said "This is irrelevant" Do you have any evidence that it's irrelevant. Because you can't just say that without any evidence. I have to show my why. The whole point is to show how high the stakes are if we remove the minimum wage. Extraordinary claims require extraordinary evidence. So if you want us to make this huge change that could be unethical and your only evidence for convincing us is "this is irrelevant" I'm going to say you need more extraordinary evidence than that. You said "You are speculating this; you can't substantiate this. " Any prediction that anyone would make is a speculation, Including your prediction that removing minimum wage will create jobs. We're in the same boat. You said "That is not my argument" You're right, It's my argument, Lol. Actually this is relevant because I'm proving that the employment contracts created by the removal of minimum wage will be too weak to take. So it won't create anymore jobs. The current minimum is already at "the floor" as you call it. So it's quite relevant. You said "Irrelevant. None of this speaks to a contention that the "Minimum Wage Creates Unemployment. " At best you offered your subjective estimation of that which could happen and could be addressed with government subsidy. What in your statement provides information to the effects of the minimum wage itself which you argue proves contrary to my proposition? " This is relevant because it shows that employers have better alternatives to laying people off. They can get tax breaks by hiring disenfranchised groups. Which gives them a higher profit margin. As for the public assistance comment. This was another point to demonstrate how high the stakes are with minimum wage. Once again, Extraordinary claims, Extraordinary evidence. If you want to raise our taxes to pay for you minimum wage removal, Then you need sufficient evidence. You said "The regulation that is minimum wage law is fact that unemployment is created. " So you're saying minimum wage is self evident? I'm sorry, But I need a better rebuttal than that. You can't just say that minimum wage cause unemployment and that the proof is itself. The data doesn't show anything to support your claim. So how is this self evident? You said "You have conveyed no understanding of the argument. The unemployment rate isn't the subject" Hey now, There's not reason to be insulting, Let's keep this civil please. The unemployment rate is germane to the topic since it is the way that we get data on the matter. I'm allowed to make points that are relevant to the subject. Especially when they give us data to help understand better. You said "The analysis simply puts trends of the federal minimum wage and the unemployment rate side by side" Well that's the point. Juxtaposition. They look at the trends in both to find correlations. The result found no correlations. That's honest data. It's not like they said "we found correlations for the other side" They said there was nothing there. Your floor. https://en. Wikipedia. Org/wiki/Marginal_revenue_productivity_theory_of_wages