The argument I always see for min wage is that people can't live off that, or maintain a family. No kidding. Min wage isn't meant for people to live off or raise a family. Min wage is for workers starting in the work force, kids and unskilled labor. Not for people with children and rent payments. I don't know anywhere that pays min wage anyway to non-teen employees. Most places are already at the $7/hr mark anyway. So inflating that min wage floor is going to push those employees that think they should get paid $2 more than current min wage, when in fact they aren't doing work that would require them getting paid $9/hr. Fast food workers, retail workers, unskilled labor workers are all employees for businesses without a great profit margin to begin with. Employers are going to raise rates to compensate, which will push inflation up and not get anyone anywhere. And let's not forget, thanks to this great global economy, our wages and standard of living in the US is going to go down as we change to a service based economy that relies on people buying products and services, and not on producing durable goods. If people don't have money to buy, the economy will tank, and further the cycle.
Furthermore, in our industry, rates are not going up or even keeping pace with inflation, while costs increase. You can't just raise your rates to compensate, there's always a low baller that will come along and outbid you and keep pushing prices down.