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Introduction
Over the past several decades, there has been a dramatic inequality in the distribution of wealth and income in the United States of America. At the same time, the state has failed to aggressively address the mentioned increasing disparity and discrimination in allocation of wealth. As a result, the consequences have turned out to be less effective and less liberal. It is now widely acknowledged that by every logical measure, the United States of America is the most imbalanced and lopsided rich country of the world. As far as economic mobility is concerned, “the likelihood that a poor kid will improve his or her economic status, the United States is also near the bottom of the list, despite its reputation as the “land of opportunity”” (Koechlin 6). In addition, this remarkable raise in economic disproportion has been revealed in and toughened by perturbing levels of social and political inequality in the country.
The issue of increase in minimum wage is also connected with the said unequal trends. There are a number of states that are presently urging the government to increase minimum wages in order to provide workers their deserving income. Since 2009, there has been no increase in the federal minimum which is $7.5/hour (Mantel 73). For the same reason, Congress has been under persistent political pressure to take steps for increasing it. Many states have taken measures to increase the minimum wage and have raised it to more than $7.5/hour. Colorado is one of those states where people have come out to voice their demand of minimum wage increase. However, there are many who oppose this demand. As far as my opinion is concerned, I believe that the government should increase the minimum wage in Colorado.
According to the opponents of minimum wage increase, this step would compel the job elimination for the poor and lowest-skilled employees from retailers, food outlets, and other employers. On the other hand, many economists and wage increase supporters assert would not make it hard for low-skilled workers to get job. If minimum wage is modestly increased in Colorado, it will only affect a small number of low-skilled workers to get jobs. According to a research, there has been no considerable job loss in the United States of America in the last two decades due to the minimum wage increase (Mantel 78).
Minimum wage increase in Colorado would be beneficial as it would only cause negligible job loss but put money into the hands of low-income workers who would spend the money to boost the economy (Mantel 73). Moreover, minimum wage acts as a stimulating factor for consumption. When low paid workers are allowed to spend more money, it automatically boosts the economy. I believe that the authorities must notice the positives of raising minimum wage. This is because its positives outweigh the negatives. I disagree with the idea presented by the opponents that it does not accomplish the designed goals. There have been only a few instances whereby there was a decline in employment rates when minimum wages were increased. It must be considered that there has been no significant reduction in the overall earnings of the United States.
Second, minimum wage increase can prove as an effective step to reduce poverty in the state of Colorado. Minimum wage can help the citizens to get rid of sweat shops ensuring that people are paid what they deserve for the hard work they put in performing their jobs. It may also give protection to marginalized groups in the society and younger workers from being given less salaries as compared to other people and groups. I believe that minimum wage increase is necessary in Colorado as it would make sure that workers on the lowest part of the pay scale are not poorly paid just because they belong to a different race or have a different gender.
Opponents also assert that minimum wage increase must not be used as a tool to fight poverty (Mantel 78). It is widely accepted that an increase in minimum wage would not reduce poverty in a drastic manner. Poverty elimination requires helping a lot of people to come out of their miserable circumstances and conditions. Opponents believe that minimum wage cannot do that. However, minimum wage may help many, if not all. Increasing minimum wage in Colorado may help a lot of people are presently paid poor salaries or who may be very close to enter the poverty line.
Opponents of increase in the minimum wage claim that increased salaries would prove to be a burden on local businesses as well as slow down employment opportunities. However, this is not the fact. If Colorado increases its minimum wage, the businesses would do well by turnover reduction as a result of paying fair wages to their workers. Minimum wage increase would result in higher worker productivity. This is because the employees would not have to juggle and balance multiple jobs for making their ends meet. I believe that the real damage on fiscal growth of the United States in the present times stems from various decisions and steps taken by various fast food chains and retailers. They damage the country’s economy by inflating their profits when pay rock-bottom salaries to their employees. In this way, they siphon money from local communities thus weakening the customer base that is required for economic growth and its sustenance.
Minimum wage increase would also help in the alleviation of crime rates and criminal activities in Colorado. This is because when workers would be paid smart money for their hard work, they would be less inclined to involve themselves in illegal activities for attaining more money. It is a natural phenomenon that when people are not given their basic and deserving rights, they achieve those through the employment of illegal means. Therefore, it is important for the authorities to realize and understand the importance of raisin minimum wage for the betterment of the overall American society.
Conclusion
In the contemporary America, it has become exceedingly important to raise the minimum wage more than ever. It needs to be understood that minimum wage increases do not add to the federal and state budget deficits. Instead, it stimulates both federal and state economy by heightening consumer spending. Although Colorado’s minimum wage ($8/hour) is more than the federal minimum wage ($7.5/hour), there is still a dire need to increase the minimum wage in the state in order to support the low-income workers and their families. An increase in minimum wage would improve pay scales in a number of jobs where millions of American citizens are spending their careers in the recent times (Osterman & Shulman 37). It is the best time for the American government to increase the minimum wage in all its states including Colorado.
Works Cited
Koechlin, Tim. "The Rich Get Richer: Neoliberalism And Soaring Inequality In The United States." Challenge 56.2 (2013): 5-30. EconLit with Full Text. Web. 10 Nov. 2014.
Mantel, Barbara. "Minimum Wage." CQ Researcher 24 Jan. 2014: 73-96. Web. 10 Nov. 2014.
Osterman, Paul, and Beth Shulman. Good Jobs America: Making Work Better for Everyone. New York: Russell Sage Foundation, 2011. Print.
