Economics Project Proposal: Raising the Minimum Wage and Unemployment

Economics Project Proposal: Raising the Minimum Wage and Unemployment
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Introduction
Recently, President Trump implemented tax cut bill, he has touted benefits to workers as companies have signaled their willingness to raise wages. Prior to this, it is the Democrats who mostly supported higher Federal minimum wage levels preferably $ 15. There are regional variations on minimum wage policies adopted, with high cost states, mostly passing higher minimum wages, but even legislators have different priorities depending on whom they believe benefits from higher minimum wages. There are also controversies on employment estimates adopted when studying effects of minimum wages as researchers adopt different approaches (Allegretto et al., 2017). The most common arguments against raising minimum wages is that it would increase unemployment to those who most need a source of income and increase the cost of doing business.
What is the impact of minimum wage increase on unemployment?
The independent variable is the wage and the dependent variable is unemployment and poverty and this information will be obtained from the Current Population Survey (CPS) - Census Bureau.
Literature review
According to David, Manning & Smith (2016) increasing the minimum wage levels was associated with growth in the lower tail inequality, and if the minimum wage level had stayed the same as 1979 level inequality would have been smaller. On the other hand, Lopresti & Mumford
(2016), pointed out...