Current Events > Why doesnt Trump lower the minimum wage to 2 cents an hour

(+) Yeah! (+)

That would really screw china XD

His supporters would love him for it.
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That's about what you get paid at jury duty, am I right folks?
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The minimum wage is necessary to protect taxpayers from the rational desire of firms to get something for nothing.

The simple fiscal argument for minimum wage legislation goes like this. Both the UK and the US have systems of in-work benefits that top up wages to a level sufficient to live on. So from firms perspective, when there is slack in the labour market (unemployment) they have little incentive to pay wages high enough to live on. And from workers perspective, they have little incentive to demand higher wages, especially if the consequence might be unemployment. If there is no minimum wage, therefore, then the co-existence of unemployment with in-work benefits drives down wages to below subsistence level. As the majority of government tax income comes from households, not firms, over time this becomes unsustainable: all unskilled workers become in effect employees of the state, and the higher skilled are forced to subsidise the wages of the unskilled through rising taxes. There would inevitably be calls for in-work benefits to be cut, probably supported by demonization of the poor. Unskilled workers would be subject to the same accusations of fecklessness and scrounging as the unemployed already receive. So in-work benefits without a legislated minimum wage are fiscally unsustainable and socially divisive when there is persistent unemployment.

Also because you hold true to your user name.
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If that's true then why does any company pay above miminum