Workers ARE CONSUMERS!
From our standpoint, it would make sense that putting money in the hands of workers will spur the economy. So I tried to come up with a logical explanation for the resistance to minimum wage increases, and I came up with two reasons:
(1) The Republicans in Congress can only relate to those on the top of the food chain because these are the people who can write hefty campaign checks to politicians. More money at the top, means there are more donors to fund campaigns. So they have no incentive to increase minimum wage because that would mean less money in the hands of their faithful campaign donors.
(2) On the other hand, companies like Walmart, that sell low-end items, would want to maintain a strong base of low-income workers to ensure it continues to have a steady consumer-base. People who shop on price alone, will patronize Walmart stores because they simply do not have the money to shop elsewhere. So, stores like Walmart, would lobby to keep minimum wages down.
So, that's what I come up with. Three different perspectives. I think we're outnumbered on this one if money makes might.
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