Inflation is one of the main reasons why the minimum wage is at a low level. In the United States, workers earn less than they did in the 1970s. About three million working-class people in the United States fell below the national poverty level last year. Minimum wage laws are established by federal and state governments to help balance the amounts of money people earn. It prevents one or more people from earning all the money and others from earning very little. The term income distribution refers to the point at which everyone earns the same amount of money. This is not something that could actually happen because everyone has different levels of education and different professions. The minimum wage is one way to try to keep income distribution fairly fair. Opinions on raising the minimum wage differ greatly from person to person. The minimum wage is basically a stepping stone for employers. It sets the minimum possible amount an employer can pay an employee. In the minimum wage model, the quantity demanded is less than the quantity of labor supplied. The minimum wage helps keep these two factors in balance. It is a very important number because it guarantees that everyone gets paid at least that. Employers cannot pay anyone less than this amount. It is against the law and carries a fine. Congress opposes raising the minimum wage for fear of negative outcomes. In reality only the government would be affected. Raising the minimum wage would greatly help this economy. It would help make jobs more attractive to people. This would be a huge help to some of the poverty levels in the United States. It would help fight violence by allowing many more people to receive an education. Families could afford to send more children to school... middle of paper... that's a lot of money, just because the minimum wage will be increased. Another disadvantage would be that employers may hire fewer workers in the entry-level jobs needed to start a career. This means that many entry-level jobs will be eliminated, allowing positions only for professional workers for a specific type of work. This would greatly affect the economy, because there would be fewer jobs for lower-middle class Americans and more jobs for the already affluent community. Raising the minimum wage definitely has its pros and cons, but the pros are thought to outnumber the cons tremendously. Overall, the minimum wage should be increased, and is expected to increase before 2020. The minimum wage is a widely debated topic, and there are positive points for both sides. In the eyes of most Americans, however, it would be extremely beneficial and could even end the current recession.