Does this level of gov't intervention help or harm the lowest end of income earners?
Many who say "removing the min. wage would hurt them (the poor)" are
the same who believe that all business & all wealthy are only
concerned with screwing the little guy - and that in the absence of some
gov'ty-imposed minimum, employers would be paying people $1/hour.
However. If McDonalds were paying people $1/hour, guess what the Burger
King across the street would have to do if it wanted to attract talent?
They'd have to pay $1.50 an hour. Thus, if Taco Bell down the street
wanted to stay in that game, they'd be forced to pay $2.20 per hour.
Meaning that by the time the wheel spins & lands on McDonalds
again,...$3.80 an hour. (obviously I'm just pulling number out of the
air here) But the principle is intact.
Free markets self-level
& determine their own value & prices. There is no
federally-imposed minimum or maximum price for a 16oz. coffee in the
U.S. Such a beverage is in the $2.00 to $3.00. If you wanted to get into
that business, but price yours at $5 - you will not be in business for
long. Like it always does, the market will eventually sort you out.
In the absence of a minimum wage "big business" would not/could not
just start paying unskilled labor next-to-nothing. Also, unskilled labor
would be forced to become skilled/educated labor. Unless & until
that happened, they'd get paid precisely what the market dictates; which
is no less or more than what the position they're filling is worth;
which in turn is quite likely MORE than a gov't imposed minimum.
If the gov't dictates a minimum - then that's the artificial level that
business will aspire to pay. If gov't says "You must pay people
$7.50/hr", then businesses are going to pay people $7.50/hr. The removal
of a minimum wage would result in an increase in pay for probably 70%
of current minimum wage earners.
These people who think the
solution is for gov't to pass a law mandating a 30 cents per hour pay
hike in the minimum wage simple do not get it. They do not understand
that they are dooming the poor/low wage earner - to low wages.
Does this level of gov't intervention help or harm the lowest end of income earners?
Many who say "removing the min. wage would hurt them (the poor)" are
the same who believe that all business & all wealthy are only
concerned with screwing the little guy - and that in the absence of some
gov'ty-imposed minimum, employers would be paying people $1/hour.
Many who say "removing the min. wage would hurt them (the poor)" are
the same who believe that all business & all wealthy are only
concerned with screwing the little guy - and that in the absence of some
gov'ty-imposed minimum, employers would be paying people $1/hour.
However. If McDonalds were paying people $1/hour, guess what the Burger
King across the street would have to do if it wanted to attract talent?
They'd have to pay $1.50 an hour. Thus, if Taco Bell down the street
wanted to stay in that game, they'd be forced to pay $2.20 per hour.
Meaning that by the time the wheel spins & lands on McDonalds
again,...$3.80 an hour. (obviously I'm just pulling number out of the
air here) But the principle is intact.
Free markets self-level
& determine their own value & prices. There is no
federally-imposed minimum or maximum price for a 16oz. coffee in the
U.S. Such a beverage is in the $2.00 to $3.00. If you wanted to get into
that business, but price yours at $5 - you will not be in business for
long. Like it always does, the market will eventually sort you out.
In the absence of a minimum wage "big business" would not/could not
just start paying unskilled labor next-to-nothing. Also, unskilled labor
would be forced to become skilled/educated labor. Unless & until
that happened, they'd get paid precisely what the market dictates; which
is no less or more than what the position they're filling is worth;
which in turn is quite likely MORE than a gov't imposed minimum.
If the gov't dictates a minimum - then that's the artificial level that
business will aspire to pay. If gov't says "You must pay people
$7.50/hr", then businesses are going to pay people $7.50/hr. The removal
of a minimum wage would result in an increase in pay for probably 70%
of current minimum wage earners.
These people who think the
solution is for gov't to pass a law mandating a 30 cents per hour pay
hike in the minimum wage simple do not get it. They do not understand
that they are dooming the poor/low wage earner - to low wages.
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