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If wages were simply raised to $10.10 with no changes to the number of
jobs or hours, only 18 percent of the total increase in incomes would go
to poor families
Should the minimum wage only apply to adults over the age of 18? After
discussion by the students, reveal the points on the slide to continue the
discussion:
Tell students that several states and municipalities have either imple-
mented a two-tier minimum wage or are considering it.
Many teens do not have an abundance of experience and skills. By allow-
ing a lower wage, teens – particularly in the food and retail areas – can
gain experience for future jobs. This increases the human capital of
younger workers.
However, teens that desperately need higher wages to help support their
families may be hurt. Adults may also be hurt when they lose their jobs to
lower paid teens.
Current policy allows employers to pay lower wages to younger workers
for a limited period, so this program already exists to some degree.
they will be given ten scenarios. They should provide a brief explanation
of how they might react to each scenario if they earned $7.25 per hour or
if they earned $10.10 per hour.
