Raising the minimum wage will result in a new investment of more than $1 billion in consumer buying power in our state, affecting over 670,000 Missouri workers. This growth in buying power will be among the lowest wage families: those most likely to spend this money locally, with small businesses in their communities.1
Minimum wage increases raise incomes and increase consumer spending. Every dollar increase in the minimum wage results in $2,800 in new consumer spending per household over the following year.2
Low and middle-income workers are more likely to spend their pay increases on basic necessities. They also tend to spend their money in the local community. This additional spending would have an overall positive effect on the economy, stimulating increased consumer demand and job growth. The effects can be even more pronounced in rural areas where consumer demand often lags more urban areas.