Economic research backs up the idea, according to Heidi Shierholz, president of the Economic Policy Institute, who spoked at Sanders’ event.
Rising inequality means income has shifted away from low- and middle-income workers who are more likely to spend it, she said.
The decline of the real value of the minimum wage is now more than 40% below where it was at its peak 55 years ago, Shierholz said.
“Having a weak minimum wage is bad for the overall economy,” Shierholz added.
In addition to reducing inequality, raising the minimum wage would also reduce pover