Research Paper on:
A Review of 'The Effects Of Minimum Wages On Employment: Theory And Evidence From Britain'

Unformatted Sample Text from the Research Paper:
has the powerful propensity to alter the status of employment standings. In fact, Dickens et al contends that one of the major causes of unemployment may be the advent  of the minimum wage law, inasmuch as minimum wage increases have caused pay scales to change so much that more and more companies are beginning to consider outsourcing. Because  it is often -- and incorrectly -- surmised that full employment is neither attainable nor desirable in the contemporary market, government may view its position as that of preventing unemployment  rates from dropping below the natural rate of unemployment. "...Contrary to the accepted wisdom of the standard competitive model of the labor market, [studies] have found zero or even  positive effects of minimum wages on employment" (Dickens et al, 1999, p. 2-20). The minimum wage has long existed between those who clung  to the traditional economic theory as a means by which to avoid having a minimum wage and those who supported the efficiency-wage benefits of implementing one. Although the argument  historical proved to be effective in swaying many lawmakers, it could also have been a strategic argument for circumventing the particular understanding of contract liberty, under which there could not  exist any type of legislation that would intrude upon ones liberty of contract unless it was unequivocally proven that doing so would most assuredly provide for the greater public interest.  It is important for the student to consider the case of outsourcing as it relates to the cost of salaries. By outsourcing  some of its labor force companies today can save thousands of dollars per employee, depending upon what the type of work the independent contractor performs. Independent contractors get competitive