Starting a new business is easier which creates competition. Not just easier, some studies have found that instead of not working, many people take that money and use it start businesses. This means that not only do you no longer have homeless and starving, the poor and starving will want to work. Even better, without minimum wage, as long as the work environment is good they will work for very little since just having someplace to go and hangout with people your age is a very good thing, and many people find work satisfying.
What are these studies you reference, please cite them.