That's where you are wrong though. By paying lower wage employees more, they are the majority, you are adding more money to the class that spends the most. This in return leads to higher profits for small businesses who can then turn around and pay their employees the minimum wage. Costs may go up but not to the extent that most people believe. Having a seperate wage for teenagers would be a better idea. Most teenagers can only work part time so the minimum wage hike would barely affect them. All it would do is give them more money which they can choose to save or spend.