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By A Smith (anonymous) | Posted October 01, 2012 at 13:44:30 in reply to Comment 81326
The Ontario minimum wage is currently $10.25/hr ($10.25 vs $49.967k GDP/capita = .205). If we used the 1970 minimum wage ($1.50/hr vs $4.236k GDP/capita = .354), it would need to be raised to $17.69/hr.
If you look at economic growth between 1968-72, real GDP averaged 2.60%/yr. From 2007-11, Canada's real GDP averaged only 0.86%/yr.
By 1979, the minimum wage was down to $12.96 (2011 equivalent) and by 1989 it was at the level we see today ($10.34, in 2011 dollars).
The story in the U.S. is even worse, which likely explains why their economy is currently in hibernation. Too much money in the hands of a few just isn't good for economic growth.
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