"California's Minimum Wage Hike Sparks Economic Debate and Price Increases Across the State"

California implemented a $20 minimum wage for fast-food workers, sparking concerns about potential long-term unemployment. Economist Scott Sumner believes the mandate could increase the state's natural rate of unemployment, as businesses may lay off workers or raise prices to offset higher operation costs. While some studies show no negative impact on employment from raising the minimum wage, Sumner argues that higher wages could make businesses more selective in hiring. Additionally, recent wage increases for hospitality workers in Southern California may also contribute to a potential rise in unemployment. These movements could impact where people live and find jobs, potentially leading to a shift in workforce migration patterns.
- California's new $20 minimum wage could leave the state with higher unemployment for years to come, economist says Yahoo Finance
- Burger King, In-N-Out and other chain locations in California raise prices after minimum wage increase: report Fox Business
- Unemployment Hell City Journal
- California's $20 minimum wage law has workers, franchisees and politicians divided Salon
- California launches largest free school lunch program in US The Associated Press
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