The US minimum wage has long lagged the nation’s productivity growth and inflation rate such that it’s real wage effect is negative, that is, it hasn’t kept pace with either. Given this, what economic/social problems arise and how can a government “of the people” allow such a low wage level? Discuss this topic in about 150-200 words

 

The US minimum wage has long lagged the nation’s productivity growth and inflation rate such that it’s real wage effect is negative, that is, it hasn’t kept pace with either.  Given this, what economic/social problems arise and how can a government “of the people” allow such a low wage level? Discuss this topic in about 150-200 words

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