Economic experts: Indexing the minimum wage to Inflation?

[woolldog]

Good idea or bad idea and why?

[mrreowwr_kittty]

1. First, let's get a valid measure of inflation.

The CPI is a pile of crap. It bears little resemblence to the prices people actually pay for things.

[gateley]

2. Good idea -- it's the right thing to do, I think. nt

[DJ13]

3. Good idea for the workers

But the employers would scream bloody murder if they couldnt use periods of increased inflation as a tool to decrease labor costs.

In fact, I think if min wage WAS indexed (to the real inflation, not the phony core inflation) we would find that the Federal Reserve would probably discover a formula to keep the economy from having these bouts of high inflation we seem to suffer every 5-10 years.

[RB TexLa]

4. Doesn't sound good to me. Are you going to reset yearly, monthly, quarterly?

$7.50/hr Jan

$8.00/hr Feb

$7.25/hr Mar

$6.95/hr Apr

$7.40/hr May

?????????????????

I know inflation usually isn't that volatile but doesn't seem good.

Our elected officials should take care of adjusting it when needed. I know, I know, I said should.

[endarkenment]

6. yearly same as SS.

Should? they hardly ever do.

[endarkenment]

5. Take it right out of the political playbook

We get gamed with this all the time. First the repugnocrats refuse to increase it when they are in charge, and the demublicans pass some half-assed increase with great fanfare generally attached to something completely odious, proclaiming loudly what a great friend of working stiffs they are. Instead it should be COLA'd the same as SS payouts are.

However the funcknutz have been gaming the inflation indices for quite some time now so that the COLA adjustment for SS is less than it ought to be, so while it would be a step forward, there is no panacea to political shennanigans.

[sandnsea]

7. Been doing it in Oregon for 5 years or so

It's now $7.95. It went up 15 cents this year, 30 cents last year. The only complaint I've heard so far is that the merit wages of low income workers always get eaten up by the regular minimum wage increase so people never feel like they're advancing in their work. I'm sure if they weighed that against $5.85, they wouldn't complain.

[librechik]

9. this is the way it should be--sensible and no big deal.

and it works.

[librechik]

8. right after we shrink every Republican down to the size they can fit inside a bathtub

all at once.