Research question.Should minimum wage increases in Ontario be linked to cost of living?Minimum wage is something that maintains the stability of a state's economy. The minimum wage is regulated by the provincial government and the slightest change creates an exponential ripple effect on local and international economies. A minimum wage is the wage that not only allows for the provision of strict physical needs, but also preserves the efficiency of workers, as well as a certain measure of education, health and other things. As noted above, the minimum wage is linked to many other things besides income, such as: education, health care, economic situation and stability, worker efficiency, and family life in general. The cost of living is the level of prices relative to a range of everyday items. If unrelated, the impact of Ontario's minimum wage uncoupled from the cost of living can harm not only the economy, but also other social factors, including education, health care, economic situation and stability, worker efficiency and family life. increasing the risks of riots, revolutions and, in an extreme situation, wars. The minimum wage is one, if not one of the most crucial aspects of a country in order to maintain adequate levels of stability of a country or state. Minimum wage is the lowest hourly wage that an employer is legally allowed to pay an employee. Most employees are eligible for minimum wage, whether they are full-time, part-time, casual, or paid an hourly rate, commission, piece rate, flat rate, or salary. There are several different classes, which also determine the minimum salary to which you will be entitled. These classes are: General minimum wage, Minimum wage for alcohol servers, Hunting and ...... middle of paper ...... the formula is based on an arithmetic average of the price levels in the two selected cities . In order to calculate the index for the two cities examined, it is first necessary to calculate the average price of each item. Prices are then compared in each municipality to average prices. There is yet another element to the CPI calculation that we have not yet discussed, and that is that not all survey products are equally important. For example, the cost of a vehicle is more important in determining the index than the price of a loaf of bread. The weights were chosen based on research which indicates that there are certainly differences between various national spending models; there are average figures that most companies accept. The graph below shows the sum of the individual weights assigned to each element making up the index categories..