Will Increased Minimum Wage Cause Inflation
The increase will be incremental starting with a new minimum wage of 10 on September 30 2021 and increasing 1 per hour each year until September 30 2026. Funny thing is that inflation and wages increase our cost of living. A Look At What Happens After Minimum Wage Hikes In Michigan Mackinac Center Instead increased minimum wages can lead to an increase in consumption aggregate demand and economic growth especially in the context of economic slowdown see for example Dan Tri 2009a. Will increased minimum wage cause inflation . The minimum wages for domestic workers and farm workers. The Federal Reserve constantly monitors for inflationary risks to the US. With all the money printing by the Fed along with the heavy deficits being run many are mistakenly fearing a push in inflation. But many recent state and city-level minimum wage increases have been scheduled to be implemented over time and often are indexed to some measure of price inflation. These small scheduled minimum w