Post
Topic
Board Economics
Re: Is increase in minimum wage a good method to fight inflation?
by
shield132
on 18/02/2024, 21:44:15 UTC
When there is inflation, an increase in the minimum wage is necessary to ease the pain of inflation on people. Btw the inflation rate that the government sets is not a good indicator because sometimes they say that inflation is 10% but actually in real life, product and service prices go up by more than 20%. Since many companies pay a minimum official wage to their employees, it's good if governments increase the minimum wage because an increase can help millions of people overcome financial difficulties. For example, while inflation is 20%, 10% increase in minimum wage can make it look like inflation is 10%.