The federal minimum wage and 40-hour workweek were firstintroduced in 1938 by Congress under the Fair Labor Standards Act(FLSA). FDR, president at the time, claimed the law was “the mostfar-sighted program for the benefit of workers ever adopted,”arguing that fair wages ensure a “minimum standard of livingnecessary for health, efficiency and general well-being.” The FLSAestablished standards affecting employees in the private sector andin government sectors at all levels, minimum wages, overtime pay,employment recordkeeping, and youth employment.

At the time of this writing, workers covered by the federalminimum are entitled to a wage of not less than $7.25 per hour.Although the federal minimum wage has been increasing steadilysince the end of World War II, it has actually remained prettystagnant in real-dollar terms. In fact, today’s $7.25 minimumfederal wage is actually less than it was in the late 1960s interms of buying power, after increases in the cost-of-living arefactored in.

Many states also have minimum wage laws. In 2016, for example,California passed legislation that will eventually increase thestatewide minimum wage to $15 per hour. Think about state andfederal policies regarding minimum-wage levels in relation to theoverall efficiency and strength of the economy as well as theirimpact on U.S. citizens.

Now construct a brief argument for or against this proposition:Increases in the federal minimum wage would have the effect ofincreasing the standard of living for the lowest socioeconomicclasses and would not increase the level of unemployment in theUnited States. How would you defend your position to a fellowstudent? What would be your main line of argument? What evidence doyou believe best supports your position?