.MASSHOLE.You are looking at one small group in a singular industry, you need to look beyond that. What about the small fast food joints that are trying to compete with McDonalds and the other large chains? What about local bike stores, ski shops, general stores, etc. that will also have to increase their wages that they pay to their workers?
People will be losing jobs because of this increase in wages, it is a given and absolutely idiotic to think otherwise. The question that people should be asking is how many? Is it an acceptable amount? Is there better rate at which the losses can be reduced while increasing the wages?
Hypothetical situation - I'm not economist, but these are my thoughts.
An employer currently needs M people on the job to adequately meet customer demand. He pays them minimum wage. If the minimum wage was to increase but customer demand was to remain the same, he would still need M people. The employer is now faced with added labor cost. The employer could increase his prices, but this would result in one of two things: 1) the customer demand stays the same even with higher prices, and so M employees are still required at any one time to meet that demand, or 2) the customer demand decreases due to increased prices, and the employer may choose to decrease the number of employees in order continue making the same profit.
The only reason that the employer would decrease the number of employees on the floor at any given time would be if customer demand dropped. The reason customer demand would drop would be from increased prices. Would a business (fast food franchise, ski shop, or otherwise) raise its prices if faced with a new minimum wage? Would that actually decrease customer demand? I'd expect that the extent to which a fast food restaurant would have to raise prices would be small relative to the amount required to deter people from eating there. For ski shops and local businesses, I'd expect most people understand the cost of good service and are willing to pay it. For (a cherrypicked) example, the ski shop at which I used to work once added $10-20 dollars to the cost of binding mounts and tunes. As far as I know, they performed no fewer mounts/tunes after making those adjustments.
Thoughts? Am I missing something?