At best, you’re looking at it all equaling zero in the end, but in fact the damages of central planning and market interference more often than not end up a net negative.
Otherwise places like the USSR, Cuba and Venezuela would be economic powerhouses. (In fact with it’s resources, how Venezuela isn’t one is a testament that “redistribution” doesn’t work.)
But let’s all ignore all those blatant real life examples, because what YOU believe is more important.
What you believe is completely irrelevant, just like your feelings. The fact of the matter is the following happens:
-
You have an instant increase in bottom end costs, and likely have to cut your non-performers. The actual minimum wage is zero, and well that increase just put a few more people (black youth unemployment skyrockets after every increase. Which makes sense seeing as it was a racist policy put in place by Democrats to price blacks and immigrants out of the “white man’s job”.)
-
You’re now experiencing wage creep, because the kids that have done well the last two year and gotten a couple raises and are now making $2 more than min, are suddenly making min again. So tier 2 needs a raise too, otherwise they are under paid. Maybe you cut a couple of them and tick up your prices a tad to cover it.
-
Tier 3 of wage earners will want a bump now too, so on and so forth
-
You’re overhead has gone up every time this happens. The costs on employing someone aren’t solely their wage, the typical factor used is 30%. So that means if you pay someone 100K a year, it actually costs you about 130K. So if you’re using a smaller min wage force and the increase only costs you about 100k a year in payroll, your actual costs go up 130k.
Any way you crack it, margins just got slimmer, say hello to increased prices. And that isn’t because “muh rich people with yachts” either. I could name 100 reasons to keep your margins healthy, but they would be lost on people who don’t know the first thing about business or economics and trust what they “believe” and feel.
Of course not… But you sure as shit can link a whole host of problems with your margin to sudden and forced increases in costs.
It isn’t official, and no, most will just fire people who make min wage if they can’t increase the price of goods. Or if possible, move operations to an environment not so hard to make money in.
One has skills only a couple of thousand people on Earth have, and the other likely has nothing in the way of marketable skills (or makes shit life choices). So yes, it is the “only way” that those who have a special talent or skill will get paid more.
Look up “incentive” when you get the chance.
Read a history book.
It. has. always. been. this. way.
It’s just now, if you’re born poor, you CAN become rich. Where in the past, you couldn’t.
Yeah. I’m not an envious little shit still living off their mommies’ tit and indoctrinated in Cannuck “university” leftist propaganda.
I have zero problem with someone having more than me. Even if they have billions and billions. I was happy making 13k a year and partying my ass off in college, and I’m happy now. And guess what, there has been people richer than men, and poorer than me the whole time.
You’re really judgmental of people you dont’ seem to agree with for all the hippy mumbo jumbo you type out here.
Peace, Love Dope Man…
