But recently, new minimum - wage laws and a tight labor market have pushed up wages for the
poorest workers, squeezing retailers who are
already under pressure from Amazon.
For example Nick Thornsby calls for a regional minimum wage as «setting an artificially high minimum wage in the
poorest areas, where business activity
already tends to be limited, makes
workers in those areas less attractive still to businesses looking to recruit: it weakens their comparative advantage.»