Sorry- he money in their pocket? Yes. If it comes from the Corp they work for then the taxpayers donât have to pay to keep them alive. Then government spending goes down. Win win.
Worker gets more. We donât pay for his food and shelter. Government spending goes down. Prices may rise but then only for the people who choose to buy that product.
First off the difference is 1000 dollars. Next that is going to be meaningless if it means cut in services or high taxes to cover the intrest due to higher debt costs.
You asked about the goal of the private sector. And since we were talking about them using the government to subsidize their employees low wages it seems you are cool with that.
Because the tax cut for the lower income earners isnât enough to make the kind of difference we are talking about. Heck, a high percentage of the people we are discussing donât make enough to even pay federal taxes after child credits etcâŚ(a fact that the right often moans about and one that would be solved by raising the minimum wage).
So:
Raise the minimum wage to a level that people can really live on
Fewer people would need government assistance.
Government spending would go down perhaps allowing for even more tax cuts
More Americans would make some contribution - small though it may be - because they would be above the cut off for federal taxes
More money will be in the economy because low income Americans spend virtually every dollar in their pocket
Things continue to grow.