The Living Wage in Iowa: the Effects on Families and Businesses

Abstract

This paper explores the cost of living in Iowa. The paper looks at nine communities throughout Iowa, both urban and rural, in calculating the cost of living in Iowa. This calculation is then used to determine what an average Iowan would need to be paid per hour to make a “living wage.” The paper then explores the effect of raising wages on businesses through looking at companies that currently pay minimum wage, companies that pay more than minimum wage but instead pay a “living wage”, and through a survey of the attitudes of small businesses in the nine Iowa communities.