Question
Use the table to the right, which shows the federal minimum wage over the past 70 years, to answer the following question. How high would
Use the table to the right, which shows the federal minimum wage over the past 70 years, to answer the following question.
How high would the minimum wage need to have been in
1945
to match the highest inflation-adjusted value shown in the table (that is, the highest value in 1996 dollars)? How does that compare to the actual minimum wage in
1945?
Year
Actual dollars
1996 dollars
Year
Actual dollars
1996 dollars
1938
$0.25
$2.78
1979
$2.90
$6.27
1939
$0.30
$3.39
1981
$3.35
$5.78
1945
$0.40
$3.49
1990
$3.50
$4.56
1950
$0.75
$4.88
1991
$4.25
$4.90
1956
$1.00
$5.77
1996
$4.75
$4.75
1961
$1.25
$6.41
1997
$5.15
$5.03
1967
$1.40
$6.58
2007
$5.85
$4.42
1968
$1.60
$7.21
2008
$6.55
$4.77
1974
$2.00
$6.37
2009
$7.25
$5.12
1976
$2.30
$6.34
2016
$7.25
$4.74
1978
$2.65
$6.38
Use the table to the right, which shows the federal minimum wage over the past 70 years, to answer the following question. How high would the minimum wage need to have been in 1945 to match the highest inflation-adjusted value shown in the table (that is, the highest value in 1996 dollars)? How does that compare to the actual minimum wage in 1945? | Year | Actual dollars | 1996 dollars | Year | Actual dollars | 1996 dollars | ||
1938 | $0.25 | $2.78 | 1979 | $2.90 | $6.27 | |||
1939 | $0.30 | $3.39 | 1981 | $3.35 | $5.78 | |||
1945 | $0.40 | $3.49 | 1990 | $3.50 | $4.56 | |||
1950 | $0.75 | $4.88 | 1991 | $4.25 | $4.90 | |||
1956 | $1.00 | $5.77 | 1996 | $4.75 | $4.75 | |||
1961 | $1.25 | $6.41 | 1997 | $5.15 | $5.03 | |||
1967 | $1.40 | $6.58 | 2007 | $5.85 | $4.42 | |||
1968 | $1.60 | $7.21 | 2008 | $6.55 | $4.77 | |||
1974 | $2.00 | $6.37 | 2009 | $7.25 | $5.12 | |||
1976 | $2.30 | $6.34 | 2016 | $7.25 | $4.74 | |||
1978 | $2.65 | $6.38 |
In order for the minimum wage in
1945
to match the highest inflation-adjusted value, the minimum wage would need to be
$enter your response here,
which is
more than
the actual minimum wage in
1945.
(Round to the nearest cent as needed.)
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