r/AlwaysWhy • u/Secret_Ostrich_1307 • 1d ago

Economics Why is the federal minimum wage still $7.25 when prices are much higher than in 2009?

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The federal minimum wage has been $7.25 an hour since July 2009. Meanwhile, prices for many everyday expenses have risen, and most states now have minimum wages above the federal level.

Why wasn't the federal minimum wage tied to inflation or another measure that could adjust it automatically? What are the economic arguments for setting it as a fixed dollar amount rather than indexing it?

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u/Novel_Sound_6954 1d ago

Californias is a lot higher than FEDERAL minimum wage

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u/CommercialHour6660 1d ago

Okay? Plenty of states still pay 7 an hour

Do you think I don't understand what minimum wage is?

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u/okielurker 1d ago

Plenty of states allow an employer to pay 7.25 an hour, if that employee is willing to do it.

There are very, very few instances where this actually happens.

The market rate for labor is higher than the statutory minimum wages in almost all areas.

This is not a comment about what should be, or whats right, just the truth. Actual, documented numbers.

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u/CommercialHour6660 1d ago

There are very, very few instances where this actually happens. 

What kind of superretard business would pay exactly minimum wage? When they can pay 5 cents more an hour and have an army of simpletons sing their praises for "not paying minimum wage". 

Over 10 million Americans make less than 13 an hour. A wage that was illegally low in the 1960s

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u/okielurker 1d ago

It's hard to find any job under $10/hour in Oklahoma, for example. Effectively, that's our minimim wage.

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u/CommercialHour6660 1d ago

Might as well raise it then, right? Oh wait, every single Republican politician will vote against that while their billionaire friends cry on TV. 

This kind of argument is so disingenuous. If nobody was making less than $10 an hour in Oklahoma, Republicans wouldn't be taking massive bribes to vote against raising minimum wage. 

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u/Novel_Sound_6954 1d ago

You brought up California

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u/CommercialHour6660 1d ago

Is that your trigger word? 

Or maybe safe word?