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Research Proposal

Research Proposal

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Published by Cynthia Watson

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Published by: Cynthia Watson on Feb 02, 2011
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10/13/2011

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Cynthia WatsonSocial Research Methods (SOC 380)Fall 2010The Effects of Minimum Wage on Poverty, Unemployment Rates, and Inflation RatesCynthia Watson12/8/2010
 
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The topic that I will be researching is the effect that the minimum wage has onunemployment, poverty, and inflation. The research question I will be addressing is: How has thechange in minimum wage affected unemployment, poverty, and inflation? I will be looking atthree different time periods to answer this question. These time periods include 1980-1990,1990-2000, and 2000-2010 because there have been significant changes in the minimum wageduring these time periods. Therefore, I will be able to show how these changes in the minimumwage have affected unemployment, poverty, and inflation during the three time periodsmentioned above. This topic and research question is of interest to me because there are manydifferent opinions about the effects of minimum wage and I would like to research the differentarguments that are present about the effects of minimum wage. Also, it would be great to dofurther research in order to help the government see the different effects that minimum wage hason the people that it services. It is necessary that the government understands that imposing aminimum wage may not always have a positive effect on the economy as everyone thinks itdoes.My topic should be of interest to a larger audience because the people who have to suffer from the minimum wage need to understand how the minimum wage is affecting their lives.People may support the minimum wage, but when they find out the negative effects that theminimum wage may have on their lives, they will be less quick to support a minimum wage being imposed. I will also target people who usually are paid minimum wage such as people whowork low skill entry level jobs. These jobs include dishwashers, busboys, and fast food workers.These are the workers who are usually paid minimum wage. My audience will be thegovernment and the general public of the United States especially those who the minimum wagemay affect such as unskilled workers and immigrant workers. Researchers who do not support
 
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the minimum wage and who have done research to show the negative effects of a minimum wagewill probably be the ones reading my research. They also may be the ones who fund my research because my research supports their argument. The government may also fund my research because it can help the government to figure out if imposing a minimum wage would be the rightthing to do at a given time.Politicians are also very interested in the topic of minimum wage. According to JosephSabia and Richard Burkhausert, ³Proposals to increase the minimum wage are politically popular  because they are widely seen as an effective way to help the working poor (AP-AOL 2006).Former President Bill Clinton captured this majority view in his statement of support for anincrease in the federal minimum wage when he said: "It's time to honor and reward people whowork hard and play by the rules....No one who works full time and has children should be poor anymore"
 
(Clinton and Gore 1992). Politicians use the minimum wage to determine certain policies and pass different legislation. For example, Joseph Sabia and Richard Burkhausertstates, ³The goal of helping the working poor was also an important motivation behind the mostrecent legislation to increase the federal minimum wage from $5.15 to $7.25 per hour in 2007,and it remains a key rationale for Senate Bill 2514, the Standing with Minimum Wage EarnersAct of 2007, which would increase the federal minimum wage yet again from $7.25 to $9.50 per hour.´ (Burkhausert and Sabia, 2010). As stated above, the minimum wage is used to enactcertain legislation, such as the Senate Bull 2514 and the Minimum Wage Earners Act of 2007.Some studies that have been done on this research topic have concluded that raising theminimum wage has had a negative effect on unemployment. For example, in the journal titled,³The Effect of the Minimum Wage on Employment and Unemployment,´ it concludes that a ten percent increase in minimum wage decrease employment by one to three percent. Also in the

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