Economist Debunks Viral Claim About Minimum Wage's Purchasing Power

A recent viral claim stated that the minimum wage in the US once held the same purchasing power as \$66 an hour today. An economist, Christopher Clarke (@econchrisclarke), debunked this claim in a recent TikTok video. Using data from the U.S. Bureau of Economic Analysis and the U.S. Department of Labor, Clarke demonstrated that the highest inflation-adjusted minimum wage was \$11.27 in March 1968. He further showed that the current national average minimum wage is \$11.73, though this varies significantly by state and locality. Some states, such as California, Washington, and those in the New York City area, have minimum wages exceeding \$16 an hour. Clarke's analysis highlights the need for a more nuanced understanding of minimum wage discussions, emphasizing the importance of considering inflation and regional variations. "Viral claims of ridiculous, uncited numbers do not help us change policy," Clarke stated in the video, underscoring the need for accurate data-driven discussions on economic policy.