"Blue states" saw a much bigger bump
"Blue states" saw a much bigger bump
Additionally, it’s easy to increase the average by eliminating people on the lower end.
If a min wage increase results in a 50% loss of jobs in that range, it’s still an average wage increase for the workers that survived. There’s just a higher unemployed pool that isn’t counted in the average.
Personally, I eat out a lot less due to the menu price increases attributable to the min wage increases.
https://foodinstitute.com/blog/nyc-restaurants-feel-the-sque...
That is a huge "if". Is there anywhere that actually happened?
So if productivity rapidly rises over some period of time, it makes sense to increase minimum wage if you want some of that to go to labour. The idea being demand won't drop that much.
We do know that productivity has been rising quite a bit recently, but real wages are stagnant. This may mean that more of the surplus is going to capital. Given all that, minimum wage increases will probably not lead to diminished demand overall (it's possible some industries don't have the capacity) unless they eat up more than the surplus.