WASHINGTON, July 28 (UPI) -- A Cornell University economist says only a tiny part of the benefits of the U.S. House of Representatives proposed minimum wage hike will help the poor.
A study by Richard Burkhauser of Cornell University, with Joseph Sabia of the University of Georgia, found that 3.8 percent of the benefit of a $7.25 an hour minimum wage would go to poor single mothers, and 3.7 percent of the benefits would go to poor African-American families.
Burkhauser's work also found that more than 87 percent of the benefits from a $7.25 minimum wage will to families that aren't poor and that the average family income of who will benefit is more than $45,500 a year, the pro-business Employment Policies Institute said Friday.
"Considering that minimum wage hikes have historically destroyed entry-level jobs and put low-skilled adults out of work, a minimum wage hike would do more than just ignore those in need -- it could destroy their jobs," said Mike Flynn, EPI's director of legislative affairs.
