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RE: Ontario Minimum Wage Hike Is Costing Us Money (Freedom Minute)
The majority of people advocated the wage increase here. All they saw was the short term gain of a few extra dollars in their hands. Can't really blame them though as more money is obviously appealing but If we take Seattle as an example the numbers don't lie. I've experienced price increases and staff shortages in my area already its an inevitability.
I have heard about the experience in Seattle a couple of times an I believe that people are commenting on a study conducted last year that did show that found:
However in this article it describes a paper which contradicts the first paper underscoring its limitations.
The second paper found that eliminated minimum wage jobs were replaced with better paying jobs.
You described what the expected outcome yourself:
Businesses respond to the increase cost of labour by increasing their prices. Because people now are earning more, they are buying more. Businesses respond to the increased demand for their products by hiring more people ... spurring staff shortages.