This is an interesting piece of evidence for the recent minimum wage debates. Labour vs Capital is a real trade off, and a surprising number of people will be replaced if you raise the cost of their labour enough.
Yes, because McDonalds workers are notorious for their high wages(!). What better way to demonstrate how workers in capitalism - far from enjoying the fruits of technological advances are being driven to compete with/replaced by them, as this era of mass unemployment is being ushered in.
Although hopefully, this will reduce the power of these all-powerful global chains who continually justify their exploitative practices to governments looking to tax them by how many would lose their jobs - rather means little if other, smaller chains are fully staffed and are eager to expand into the vacuum they'd leave.
Damn those Spinning Jenny's, putting those hardworking weavers out of work. Workers are doomed I tell you, DOOMED!!!!
My point is that raising the minimum wage is a terrible way to reduce poverty because employers will switch from labour to capital as labour costs rise. The EITC and wage subsidies are much better methods to reduce poverty than the minimum wage.
