Research Outline

Brandon Schneider
Candace Wiley
English 103
27 February 2009

I. Introduction

A. Discuss how economy is main concern of the country right now with recession taking place. Transition to idea that minimum wage is one of the most important aspects of the economy. It is more complex than it seems and has far reaching implications on millions of Americans
B. Designed to reduce poverty, a high minimum wage is detrimental to the economy. The negative effects of a mandated high rate of pay are felt throughout the economy with decreases in hiring, increases in inflation, and a heavy reliance on government programs.

II. Decrease in Hiring

A. Make use of statistics and studies that show how a high minimum wage forces employers to lay off several employees.
1. Interview of restaurant owner that admitted he had to lay workers off when minimum wage was raised.
B. Not only do people get laid off, they also cannot get hired and start working and earning money for their family.
C. Political cartoon about minimum wage-companies argue for a higher minimum wage to support their employees. They do not think about the fact that they will have to pay the workers the higher wages.

III. Increase in Inflation

A. Show that the increase in the wage level adds money to the economy. The higher prices paid to workers raises costs to companies. They put this cost on the consumers by raising the price of goods.
B. The inflation causes poor families to have less purchasing power. The raise in minimum wage directly hurts the people it is intended to help.

IV. Heavy Reliance on Government

A. When people get laid off because of an increase in minimum wage they are forces to accept unemployment checks to maintain their style of living. This is money government could be spending on beneficial programs.
B. People accept underground jobs. The economy is less regulated because people had to find some source of income.
C. Teenagers drop out of high school in an attempt to earn this high wage.
1. Do not increase their wage, are forced to take aid from government later in life because of decision to drop out of school.

V. Conclusion

A. Restate points to strengthen argument against a high minimum wage. Clearly show what I have just proved by paraphrasing my thesis.
B. Bring paper to a close by stating that a high minimum wages causes more damage than wealth to poor people in America.