Bill aims to raise Virginia's minimum wage to $15.15 by mid 2015

Virtually none of your parrot-squawk contains a single shred of non-armchair economic evidence/theory to support it, outside of the Marxist-inspired talk about value in the beginning and the misleading reference to Bloomberg Business week. That should at least be a red flag. You don't talk about the effect of a large minimum wage hike on smaller, locally owned businesses with small profit margins, or about increased outsourcing.

Let's go with your numbers just the same, though, and assume that I own a McDonald's and my rank and file employees are worth precisely $10/hour. Unfortunately for them, evil and misguided people have forced through a $15/hour minimum wage. I obviously cannot afford to continue employing them, so I lay them all off. This leaves me with only managers, who presumably are worth at least $15/hour. Thing is, my managers are only actually worth $15 when managing, not making food - without my rank and file, they're worthless. My store no longer can sell food, bringing my gross income down to a whopping $0 and raising the question of "Were those employees really only worth $10/hour after all if laying them off dropped my profits well beyond $10/hour/employee?"

Have you ever worked a low-paying food service job for any appreciable amount of time? This is what would happen in many cases, though maybe not to the extreme degree you describe. You really think that every business is going to keep it's workforce exactly the same size? A significant portion of the workforce is going to be layed off with a greater burden being distributed among remaining workers. And would you rather work for $7.25 40 hours a week or $15.15 0 hours a week?

So where does the money come from? bla bla bla There's an answer to that: profits.

Does this not strike you as circular?

For a more business friendly source, Bloomberg's Businessweek came up with numbers generally around a 1% increase in price.

Does this comment refer to this article? None of the minimum wage referenced there are nearly on the scale of OP's (the difference between a $1-2 increase and a $7.90 increase are not trivial!). And the article only covers initial price increases made by companies to initially compensate for the increased wage. If the increased wage was actually successful at introducing prosperity towards the bottom (which would take a little time), you'd expect the price of many goods to increase just because consumers would have more disposable income.

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