Higher minimum wages increase poverty in poor neighborhoods, study finds
by Joseph Lawler
| June 11, 2018 09:00 AM
A new study from a prominent researcher finds that higher minimum wages have increased poverty in poor neighborhoods, a finding that could shake up the debate over the federal wage floor and slow the liberal push for a $15-an-hour minimum.
The study, led by the University of California, Irvine economist David Neumark and published by the business-backed Employment Policies Institute, finds that, over the course of decades, higher minimum wages don’t reduce poverty in disadvantaged neighborhoods. Rather, the analysis finds that a $1 increase in the minimum wage raises poverty rates and government dependency by about 3 percent.
The report also finds evidence that cash welfare fails to lower poverty.
https://www.washingtonexaminer.com/policy/economy/higher-minimum-wages-increase-poverty-in-poor-neighborhoods-study-finds
