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The Effects of a Minimum-Wage Increase on …
25th Percentile of Workers Wages10th Percentile of Workers WagesFederal Minimum Wage$ Option$ OptionCurrent Law4681012019731993198320031978199819882 00820132013 Dollars per HourActualProjectedCONGRESS OF THE UNITED STATESCONGRESSIONAL BUDGET OFFICECBOThe Effects of a Minimum-Wage Increase on Employment and Family IncomeFEBRUARY 2014 CBON otesEstimates of the effect on employment of the options to Increase the minimum wage are rounded to the nearest 100,000 workers. Numbers in the text, tables, and figures may not add up to totals because of No. 4856 ContentsCBOS ummary1 What Options for Increasing the Minimum Wage Did CBO Examine?1 What Effects Would Those Options Have?1 The Current Federal Minimum Wage4 Two Options for Increasing the Federal Minimum Wage4A $ Option5A $ Option6 How Increases in the Minimum Wage Affect Employment and Family Income6 Employment6 Family Income8 CBO s Findings About Employment and Family Income8 Effects of the Options on Employment9 Effects of the Options on Family Income11 The Effect of an Increase in the Minimum Wage on the Federal Budget13 BOX:THE MINIMUM WAGE AND THE EARNED INCOME TAX CREDIT15 Effects for People Whose Income Would Rise16 Effects for People Whose Income
2 THE EFFECTS OF A MINIMUM-WAGE INCREASE ON EMPLOYMENT AND FAMILY INCOME FEBRUARY 2014 CBO Table 1. Estimated Effects on Employment, Income, and Poverty of an Increase in the
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