The unemployment rate is increasing every year on top of that and corporations are opting for ai and foreign labor to cut wage costs. So how is the consumer expected to keep buying if they can't afford it?
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Why does the price of goods have to increase if the minimum wage increases?
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Like with anything else I guess. They spend more of their income, or have to pull out loans they can't pay back. That is a nightmare scenario, and only assumes to apply to education and housing now. It's why many people own homes decades ago, but now far fewer do, and many rent.
Corporations need people to work there. Even AI systems require humans to maintain it. In a free market people that re in demand will be paid well. Thsat will drive the economy.
They'll survive while others have to turn to crime or fight for better jobs
A fascinating question 😄😋