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In early 2014, President Obama raised the minimum wage for all temporary workers provided to the federal government through private contracts because Congress would not enact legislation to increase worker compensation. His actions are an example of __________.

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Final answer:

President Obama raising the minimum wage for temporary federal workers provided by private contractors in 2014 is an example of him using an 'executive order'. These orders are utilized when the president wants to manage operations within the federal government, like this minimum wage increase, without needing it to go through Congress.

Step-by-step explanation:

In 2014, when President Obama raised the minimum wage for all temporary workers provided to the federal government through private contracts, he was using an executive order. An executive order is an expression of public policy undertaken at the discretion of the president and it allows the president to manage operations within the federal government without going through Congress.

In the case of the minimum wage increase, Obama utilized this tool when Congress would not enact legislation to increase worker compensation. It is important to note that the minimum wage originally reflected increased buying power for workers, rather than setting the bottom threshold of pay as it does now. Thus, there are different views on this issue, with some arguing that a higher minimum wage today will only increase the prices of products and services, and others contending the increased buying power would instead stimulate the economy for all.

Similar actions have been observed in later years too, for instance, in April 2021, President Biden too issued an executive order to raise the minimum wage of federal contractors to $15 per hour, reflecting ongoing debates and efforts to address the issue of wage setting and worker compensation.

Learn more about Executive Order

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