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Elizabeth Warren: Why isn't minimum wage $22?

Elizabeth Warren: Why isn't minimum wage $22?

(4:56) March 2013: Senator Elizabeth Warren told David Rutigliano, representative of the Connecticut Restaurant Association and partner in SBC Restaurant Group, that raising the minimum wage to $10.10 over three years would increase the price of a fast-food entree by only 4 cents. Her figures were supported by economics professor at University of Massachusetts, Arindrajit Dube.

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Guest: steve-o (1469 days ago)
Let's wait for comments from our favourite astroturfer cengland0. Let me think... it's peoples choice to starve, earn crap wages, be exploited. Rich people are simply more hard working, the system does not support or favour them, corruption is not present and democracy is only made possible through massive inequality and dis-empowerment and removal of the chance to better themselves for vast numbers of people. I think I got it all there, but lets wait for the man himself...
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Let's wait for comments from our favourite astroturfer cengland0. Let me think... it's peoples choice to starve, earn crap wages, be exploited. Rich people are simply more hard working, the system does not support or favour them, corruption is not present and democracy is only made possible through massive inequality and dis-empowerment and removal of the chance to better themselves for vast numbers of people. I think I got it all there, but lets wait for the man himself...
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MyName MyName (1465 days ago)
Latest comment: cengland, is that you?
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Latest comment: cengland, is that you?
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Guest: (1469 days ago)
An argument that begins with the statement "Elizabeth Warren is an idiot" doesn't deserve to be read any further. It is fair to disagree with her findings, but in no way with her intellect. You, sir, are the idiot.
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An argument that begins with the statement "Elizabeth Warren is an idiot" doesn't deserve to be read any further. It is fair to disagree with her findings, but in no way with her intellect. You, sir, are the idiot.
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tornadodog tornadodog (1469 days ago)
a point well made!!!what has happened to your manners cary??she is one of your senators after all and holds a position higher then a banker
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a point well made!!!what has happened to your manners cary??she is one of your senators after all and holds a position higher then a banker
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cengland0 cengland0 (1469 days ago)
Elizabeth Warren is an idiot. You do not relate wages to productivity like she is attempting to do. Huge corporate investments in computers, robots, and other technologies is what causes the increase in productivity -- not the fact the workers are working harder. She asks what happened to the other $14 because it didn't go to the worker. Well, actually it did. When companies reduce expenses due to new technologies and higher productivity, they can pass those savings on to the consumer. You might not see a $14 savings but perhaps the price of the products haven't increased yet. The companies cannot just arbitrarily raise their prices because competition keeps those prices at bay. She talks about the increase of 4 cents on a #11 at McDonalds but falls short of mentioning the other ramifications of raising the minimum wage. If you raise the minimum wage to $22, people like airconditioner repair people make less than that and that's a skilled job requiring specialized training and certification. Why wouldn't they just work for McDonalds instead? It would be an easier job for the same pay. What actually happens is there's a ripple effect that goes on and the wages increase across the board. This causes inflation on all products. Inflation dilutes the value of people's savings. For example, suppose I have $1000 in my savings account and the minimum wage goes up. That $1000 will not be able to buy as much as it did when I put it in the account so I'm losing money in the process. Yes, I still have $1000 but that $1000 becomes virtually useless. My pension plans will be diluted as well and I may not be able to retire as soon as I thought. Did you see that video about the CEO of Amazon? That guy is very strategic thinking and started that company out of nothing. Don't you think he deserves more money than someone at McDonalds who just asks if you want fries with that? Financial inequality is very important in a capitalistic society. It rewards people for taking risks and inventing products or procedures. It rewards people for working hard. If everyone made the same amount, there wouldn't be any incentive for doing the best you can. Do you think I'd be in the position I'm in with my current company if McDonalds paid me the same amount with the same benefits? Like I said before, those minimum wage jobs are for high school and college students trying to earn pocket change and not intended to be worked as a long term career. Anyone that continues to work in those positions for 10 years while having 4 kids is stupid.
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Elizabeth Warren is an idiot. You do not relate wages to productivity like she is attempting to do. Huge corporate investments in computers, robots, and other technologies is what causes the increase in productivity -- not the fact the workers are working harder. She asks what happened to the other $14 because it didn't go to the worker. Well, actually it did. When companies reduce expenses due to new technologies and higher productivity, they can pass those savings on to the consumer. You might not see a $14 savings but perhaps the price of the products haven't increased yet. The companies cannot just arbitrarily raise their prices because competition keeps those prices at bay. She talks about the increase of 4 cents on a #11 at McDonalds but falls short of mentioning the other ramifications of raising the minimum wage. If you raise the minimum wage to $22, people like airconditioner repair people make less than that and that's a skilled job requiring specialized training and certification. Why wouldn't they just work for McDonalds instead? It would be an easier job for the same pay. What actually happens is there's a ripple effect that goes on and the wages increase across the board. This causes inflation on all products. Inflation dilutes the value of people's savings. For example, suppose I have $1000 in my savings account and the minimum wage goes up. That $1000 will not be able to buy as much as it did when I put it in the account so I'm losing money in the process. Yes, I still have $1000 but that $1000 becomes virtually useless. My pension plans will be diluted as well and I may not be able to retire as soon as I thought. Did you see that video about the CEO of Amazon? That guy is very strategic thinking and started that company out of nothing. Don't you think he deserves more money than someone at McDonalds who just asks if you want fries with that? Financial inequality is very important in a capitalistic society. It rewards people for taking risks and inventing products or procedures. It rewards people for working hard. If everyone made the same amount, there wouldn't be any incentive for doing the best you can. Do you think I'd be in the position I'm in with my current company if McDonalds paid me the same amount with the same benefits? Like I said before, those minimum wage jobs are for high school and college students trying to earn pocket change and not intended to be worked as a long term career. Anyone that continues to work in those positions for 10 years while having 4 kids is stupid.
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Guest: FactsNotFiction (1469 days ago)
You started with an ad hominem. How low. How can you expect anyone to take your debating skills serious when all you do is indulge in fallacies, misinformation and distraction tactics? This clip is in direct relation to a previous meet where a comment made by a restaurant owner, who without any evidence to support his claim, stated that raising the minimum wage would mean he would have to sack an employee or "force" his business to be uncompetitive in the market. It's amazing how great people like Sen. Warren have to waste time playing to the lowest common denominator and proving greedy a-holes wrong. She could be doing so much more for your decrepit empire. You're not much better than the misguided restaurant owner with your time wasting and hypothetical fear mongering antics, in fairness. Your troll has grown as old as Sam.
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You started with an ad hominem. How low. How can you expect anyone to take your debating skills serious when all you do is indulge in fallacies, misinformation and distraction tactics? This clip is in direct relation to a previous meet where a comment made by a restaurant owner, who without any evidence to support his claim, stated that raising the minimum wage would mean he would have to sack an employee or "force" his business to be uncompetitive in the market. It's amazing how great people like Sen. Warren have to waste time playing to the lowest common denominator and proving greedy a-holes wrong. She could be doing so much more for your decrepit empire. You're not much better than the misguided restaurant owner with your time wasting and hypothetical fear mongering antics, in fairness. Your troll has grown as old as Sam.
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Guest: Casey (1469 days ago)
I am that restaurant owner and what I said was fact. What evidence would you have me post, besides common sense, to prove what I said? I run a small business with low margins, as many do these days to survive, ANY increase in expenses dictates one of two things, I either raise prices decreasing my competitiveness or sack some one to make up the difference. What's so difficult to understand the logic of that, why would you need proof when the proof is staring you on the face? You don't just raise prices without consequence, this seems to be a huge weakness with liberals, all you see is one side of an equation, the money has to come from somewhere! Think man!
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I am that restaurant owner and what I said was fact. What evidence would you have me post, besides common sense, to prove what I said? I run a small business with low margins, as many do these days to survive, ANY increase in expenses dictates one of two things, I either raise prices decreasing my competitiveness or sack some one to make up the difference. What's so difficult to understand the logic of that, why would you need proof when the proof is staring you on the face? You don't just raise prices without consequence, this seems to be a huge weakness with liberals, all you see is one side of an equation, the money has to come from somewhere! Think man!
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Guest: (1468 days ago)
it's not just you who has to raise wages, it's everybody... that's why it's called MINIMUM WAGE!! because it applies to ALL! your logic is flawed.
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it's not just you who has to raise wages, it's everybody... that's why it's called MINIMUM WAGE!! because it applies to ALL! your logic is flawed.
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Guest: Casey (1468 days ago)
And what do you think happens when EVERYBODYS wages go up? That money has to come from somewhere...prices go up with it! So now you have higher prices but you fail to take into account people on a fixed income, like PENSIONERS! unemployed etc. You just made their life a lot harder! THINK! the money doesn't just appear from nowhere! it must first be taken from somewhere else to pay for these rises. It's your logic that's flawed, you just haven't thought it through far enough.
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And what do you think happens when EVERYBODYS wages go up? That money has to come from somewhere...prices go up with it! So now you have higher prices but you fail to take into account people on a fixed income, like PENSIONERS! unemployed etc. You just made their life a lot harder! THINK! the money doesn't just appear from nowhere! it must first be taken from somewhere else to pay for these rises. It's your logic that's flawed, you just haven't thought it through far enough.
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cengland0 cengland0 (1469 days ago)
If the restaurant business was so lucrative, why do 80% of them fail within the first 5 years? It's not the money making machine people think it is. Sure the food has a high gross profit margin but the net profit is a different story. There are huge expenses in running a restaurant and employee salary is just one factor. What would the failure percentage be if the minimum wage was increased? Besides, I believe waiters have a lower minimum wage than other industries because they also get tips. Regarding me trolling, I'm not. I was responding to steve-o that specifically asked for my opinion. If you don't like my opinions, don't read them and just move along.
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If the restaurant business was so lucrative, why do 80% of them fail within the first 5 years? It's not the money making machine people think it is. Sure the food has a high gross profit margin but the net profit is a different story. There are huge expenses in running a restaurant and employee salary is just one factor. What would the failure percentage be if the minimum wage was increased? Besides, I believe waiters have a lower minimum wage than other industries because they also get tips. Regarding me trolling, I'm not. I was responding to steve-o that specifically asked for my opinion. If you don't like my opinions, don't read them and just move along.
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Guest: Brainfart (1469 days ago)
Are you disputing the finding in the video, or rambling to try and poorly prove an opinion/musing that you hold, not fact or anything of substance, because in both "replies" (rants) you have gone off piste and trolled. It's great. What other sage musing do you have??
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Are you disputing the finding in the video, or rambling to try and poorly prove an opinion/musing that you hold, not fact or anything of substance, because in both "replies" (rants) you have gone off piste and trolled. It's great. What other sage musing do you have??
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Guest: G.O. (1469 days ago)
Yes because everyone starts off on a level footing and it's just the best that actually excel in capitalism. Oh, hang wait that's completely untrue and actually bs. Capitalism skews the system so much that your average McDonald's employee will most likely never rise out of the gutter. It's a delusional, fictional tale spun by americans for the last 100 years. The country were anyone can make it big, ballcocks. 1% of several million people made it. That's worse and any other social system in the world. Even N.Korea has a better wealth distribution that the USA. The corrupt, criminal rich in the usa paint the scene and pay to educate the sheep into thinking they are cows.
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Yes because everyone starts off on a level footing and it's just the best that actually excel in capitalism. Oh, hang wait that's completely untrue and actually bs. Capitalism skews the system so much that your average McDonald's employee will most likely never rise out of the gutter. It's a delusional, fictional tale spun by americans for the last 100 years. The country were anyone can make it big, ballcocks. 1% of several million people made it. That's worse and any other social system in the world. Even N.Korea has a better wealth distribution that the USA. The corrupt, criminal rich in the usa paint the scene and pay to educate the sheep into thinking they are cows.
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cengland0 cengland0 (1469 days ago)
You don't know what you're talking about. One of my friends worked at McDonalds as one of his first jobs and now has a high paying job at a huge medical insurance company. So don't tell me that most of the people that work at McDonalds will never amount to anything because I think many high school and college people that start there end up getting better paid jobs. I listed my job experience before and I'm not going to do it again here. However, I've had many minimum wage jobs in the beginning of my life starting at an early age but I quickly left those and got my first management position. I didn't stay in the same minimum wage job for 10 years with 4 children and neither did my friend.
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You don't know what you're talking about. One of my friends worked at McDonalds as one of his first jobs and now has a high paying job at a huge medical insurance company. So don't tell me that most of the people that work at McDonalds will never amount to anything because I think many high school and college people that start there end up getting better paid jobs. I listed my job experience before and I'm not going to do it again here. However, I've had many minimum wage jobs in the beginning of my life starting at an early age but I quickly left those and got my first management position. I didn't stay in the same minimum wage job for 10 years with 4 children and neither did my friend.
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Guest: (1469 days ago)
Always with the personal story eh. Proves the square root of nothing. Jess, your troll is weak.
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Always with the personal story eh. Proves the square root of nothing. Jess, your troll is weak.
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Guest: PeterLondon (1469 days ago)
Funny how paying the low paid more does nothing for the economy; but paying the top 1% even more of a share of national wealth is the way to go eh? As the motto of the French civil service say: "It's all very well it working in practice; but it will never work in theory".
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Funny how paying the low paid more does nothing for the economy; but paying the top 1% even more of a share of national wealth is the way to go eh? As the motto of the French civil service say: "It's all very well it working in practice; but it will never work in theory".
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cengland0 cengland0 (1469 days ago)
While I'm on this subject, I hire people all the time to do temporary work and I pay $10/hour for those non-skilled jobs. If the minimum wage was increased to $10/hour, I would have to pay about $15 to get someone to do the work. There comes a point where the task is not worth $15 so I will do without that service or I'll just do it myself. How much would you be willing to pay to have someone wash your car before you decide to do it yourself? Obviously, unless you're a multi-billionaire, there is a limit to what you're willing to pay. Increasing the minimum wage will potentially have companies move more jobs to other countries. Restaurants will begin using technology to decrease the number of employees. I just read an article where a restaurant bought 100,000 tablets to put on the tables so you can place orders without a waiter. The waiter just needs to bring you your food. There are sushi restaurants 100% automated with belts that bring the food to your table and you drop your dirty dishes in slots in the wall. More of this will happen if the price of labor becomes too expensive. Look at what happened to the full service gas stations -- they all went away and now all I can find is self-service stations. You and others are delusional if you think companies will sit around and let the price of labor increase indefinitely without taking appropriate actions.
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While I'm on this subject, I hire people all the time to do temporary work and I pay $10/hour for those non-skilled jobs. If the minimum wage was increased to $10/hour, I would have to pay about $15 to get someone to do the work. There comes a point where the task is not worth $15 so I will do without that service or I'll just do it myself. How much would you be willing to pay to have someone wash your car before you decide to do it yourself? Obviously, unless you're a multi-billionaire, there is a limit to what you're willing to pay. Increasing the minimum wage will potentially have companies move more jobs to other countries. Restaurants will begin using technology to decrease the number of employees. I just read an article where a restaurant bought 100,000 tablets to put on the tables so you can place orders without a waiter. The waiter just needs to bring you your food. There are sushi restaurants 100% automated with belts that bring the food to your table and you drop your dirty dishes in slots in the wall. More of this will happen if the price of labor becomes too expensive. Look at what happened to the full service gas stations -- they all went away and now all I can find is self-service stations. You and others are delusional if you think companies will sit around and let the price of labor increase indefinitely without taking appropriate actions.
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cengland0 cengland0 (1469 days ago)
I believe in paying people what their skills are worth. There are a lot of people in the workplace and many more people wanting those same jobs. The market will dictate what is fair for the employee because if the employee doesn't like it, they can quit. Then if the pay is good, someone else will come in and take that job. If the pay is not good, the job will not be filled. The employer will have to increase the salary to make the job more desirable for new hires. So as long as people continue to work for that money, there is no encouragement for the companies to increase the wages. If you're a head chef in one of Gordon Ramsey's restaurants, you're still in the food industry but you get paid a lot more than minimum wage. Why do you think that is? Because he wants better people in his restaurants and you have to pay a premium for that quality person. If you only want trained monkeys that take orders and do the same things over and over again, you don't need to pay much for that task.
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I believe in paying people what their skills are worth. There are a lot of people in the workplace and many more people wanting those same jobs. The market will dictate what is fair for the employee because if the employee doesn't like it, they can quit. Then if the pay is good, someone else will come in and take that job. If the pay is not good, the job will not be filled. The employer will have to increase the salary to make the job more desirable for new hires. So as long as people continue to work for that money, there is no encouragement for the companies to increase the wages. If you're a head chef in one of Gordon Ramsey's restaurants, you're still in the food industry but you get paid a lot more than minimum wage. Why do you think that is? Because he wants better people in his restaurants and you have to pay a premium for that quality person. If you only want trained monkeys that take orders and do the same things over and over again, you don't need to pay much for that task.
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