Minimum wage advocates cheer Obama’s idea, while others warn of outcomes

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KANSAS CITY, Mo. -- President Obama's declaration of hope for a higher minimum wage sparked hope in people like Rev. Lloyd Fields, who's been working for a year and a half with Communities Creating Opportunity or CCO, lobbying to increase the minimum wage.

"We all need the same necessities in life, somebody forgot that," Rev. Fields said.

Rev. Fields says the current federal minimum wage of $7.25 an hour doesn't allow families to get the basic things.

"I know people that are still making minimum wage. They're struggling.  They're having to do other things to make livings or going and getting food stamps or other things," Rev. Fields explained.

If minimum wage is increased to $9.00 an hour from $7.25 an hour someone working forty hours a week every week would make $3,640 more in gross income each year.  Some businesses warn, however, that increasing the minimum wage could just mean higher prices for customers.

"If minimum wage goes up, then probably the prices go up and or the service goes down a little to offset that ," said John Matthews from Philly Time in Briarcliff.

John Matthews says he's not overly concerned, but he's worried if minimum wage increases, he'll have to do more to keep his best employees.

"Most of our employees make above minimum wage, but of course if it goes up I'll have to raise- keep up to retain good employees," Matthews said.

Wednesday morning, Republican Senator Marco Rubio, who gave the rebuttal to the State of the Union address, said history shows minimum wage laws have not generated economic growth or increased the prosperity of the middle class.

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