Zachary S. Fone, Joseph J. Sabia, Resul Cesur of the National Bureau of Economic Research have released a study that shows that the higher the minimum wage the more property crimes are committed.
This makes sense since young people without a college education are priced out of the job market when their job skills are worth under what the minimum wage is and causes companies to buy robots to do the work. McDonald’s is putting in kiosks for ordering and that eliminates jobs. Whole Foods is a prime example.
After they raised their minimum wage, they reduced part-time workers from 30 to 21 hours and full-time workers went from 37.5 to 34.5.
“Although the minimum wage increases take-home wages for some workers, it also leads to reduced hours and job loss among workers,” Lehman reported.
“This is especially true for those whose skill level who puts the market value of their labor below the floor imposed by the minimum wage — a situation which increasingly encourages the replacement of people with robots.”
“We find little evidence that minimum wage increases affect violent or drug crimes, or net crime among older individuals, but do increase delinquency-related crimes related to teenage idleness,” the study read.
“Moreover, in contrast to (an earlier study), we find no evidence that minimum wageincreases reduced net crime among working-age individuals, suggesting that different margins of criminal behavior may be affected by minimum wages.”
“Our estimates suggest that this minimum wage hike would generate over 410,000 additional property crimes and $2.4 billion per year in additional crime costs,” the study read.