The Impact of the Minimum Wage on Employment, Productivity and Poverty: Conceptual Discussion

Abstract

The minimum wage is a contentious debated issue which there are numerous studies and opinions on the minimum wage. Some argue that having a minimum wage has a positive impact but despite the fact that some research suggests that a minimum wage has mixed results. Therefore, the goal of this paper is to discuss about the impact of minimum wage on employment, productivity and poverty. Articles is a comparison analysis studies from various research about the impact of the minimum wage towards employment, productivity and poverty retrieved from various database. More importantly, the outcomes have varying effects on employment, productivity, and poverty and to achieve consistent economic growth, employers should consider either continuously raising wage levels or raising them every two years.