1. According to the Congressional Budget Office, more people will be put out of work (1.4M) than are raised out of poverty (900K). ( https://www.cbo.gov/system/files/2021-02/56975-Minimum-Wage.pdf ) The outcome means a net loss of benefits to 500K. While earning a wage but remaining in poverty is undoubtedly no ideal, relegating one to the unemployed level thrusts most to the highest level of impoverishment.
2. Raising minimum wage across the nation without considering regional differences in cost of living will put numerous small businesses out of business as labor is often their number one cost. In places where the minimum wage is sometimes even less than ½ that of the proposed new minimum wage, this means labor costs could skyrocket to near twice their current level for some businesses, often those who are on the bubble already fighting for basic survival.
3. Many who lose their jobs will be those who are making a slightly higher wage. So, the overall impact will create a larger divide between the low and high-income classes in society, pushing middle-income Americans into low-income status. The same type of system is often prevalent in socialist economies. There are typically two classes in such economies, the poor and the elite, with very little in between and little hope for those in the poor class ever rising above their now dictated lower caste and social status.
4. As smaller businesses fail due to economic impossibilities, this will further enrich big corporations such as Amazon and Walmart. Many such corporations are known to prey on the lowest economic workers and often outsource to communist regimes. This dynamic creates situations of day-to-day survival over that of advancement. As a result, many lead a lifetime of basic subsistence, living paycheck to paycheck, in a lifetime of poverty and low socioeconomic status.
5. Since a contrived minimum wage is not based on economic realities, this will cause a level of increased inflation as businesses are forced to raise prices for basic survival. Again, this will further empower big corps as they have more free cash in reserves and make it easier to continue pushing out their smaller competitors. Since 2/3 of employment in America comes from microbusinesses, the more microbusinesses are pushed under; this means the original 1.4M who will initially lose their job will actually grow to much higher levels over time.
6. As inflation rises, this will create an even more significant disparity between USA-made goods and goods produced from slave labor countries like China as competition in the USA is pushed under in favor of cheap goods on both a local and international market. China is known for enslaving Uyghur minorities and practitioners of Falun Gong to produce cheap goods for the world market while completely ignoring basic human standards. Many such individuals are worked without food or rest for days on end to the literal point of death. Those who can not keep up, or simply at the whim of their oppressors, are often beaten, mass raped, dismembered, used for un-sedated live organ transplants, and inhumanely treated in many other ways only the most depraved minds can conceive.
7. Falsely raising the minimum wage without a direct tie or concern for regional economics will cause a demoralization of the current workforce. Many of us understand and have experience through our own first jobs with making minimum wage. We have put in the effort to bring ourselves up, improve our skillsets, experience, and education as a necessity to earn more. Will our wages be increased proportionally to those who will get the falsely earned increase in their wages? For the vast majority, the answer will be NO! This means the often-times years of effort, personal growth, experience, and increased education you have put yourself through will now become meaningless. The new norm is you will find others with none of the above who come in on day one, making the same or close to the same wage you have put years into earning. Long-term, there will be decreased desire to push oneself to do better for themselves under the idea that minimal effort is the best reward. There will be a new perception that the government will periodically increase wages to the same level where previous years of effort, education, and experience would have been necessary.
