This page shows a time series of the average minimum wage, cpi, and annual inflation rate,
The average inflation over time has been higher in control states, where the minimum wage is lower, than the treatment states where the minimum wage has been increasing over time.
Around the time of the Great Recession in 2008, both groups experienced a similar spike in inflation.
But there are also times where inflation goes higher for the treatment groups. This could be because of the increases in cost of living for states like New York or California. While those states that hae lower effective minimum wage, average rent prices don't drastically increase over time.
CPI is something that naturally increases over time as, the cost of living generally goes up as time goes on.
The average CPI over time follows the same trends in both the treatment and the control states, but the effective minimum wage for the control states don't follow the same trend as the treatment states.
Indicating how the cost of living in certain places are not following the same trends that might be necessary for people to live a financially stable life.
The average effective minimum wage for control states tapers off at about $7.25, which is right at the federal minimum wage. There are states included in the control group that have a minimum wage higher than the federal wage, but the overwhelming majority of states keep it at or very near the federal wage.
While the average effective minimumwage for the treatment states are growing at a great rate as time goes on. It is pretty substantial growth compared to the control group. And if the data were more current, the gap would be more pronounced.
This gap between the two groups is probably due to the increasing cost of living in these states. With New York average 1 bedroom rent costing $3,854, which is 147% higher than the national average rent price of $1650 per month. But as aforementioned, cost of living goes up everywhere, not at the same rate, but it is increasing regardless. So, the average American is probably being affected in another area than rent.