Minimum Wage Increase backslash estate tax

[natedogg]

[ QUOTE ]

Outside of that, you think it is ok to keep people in poverty?


[/ QUOTE ]

No one in the usa is being "kept" in poverty. No one.

[ QUOTE ]
What solution would you have to help these people not live week to week on small paychecks?

[/ QUOTE ]

Some work experience?

natedogg

[Dr. Strangelove]

I suspect the vast majority of minimum wage jobs produce significantly more value than $5.15 per hour + a one or two dollar increase.

If this weren't the case McDonalds and Burger King wouldn't be so fantastically successful, and they certainly would have been much LESS successful in previous years when the minimum wage was more valuable.

[4 High]

natedogg i forgot everyone in the US has the same abilities, skills, and chances as everyone else. :re

[lehighguy]

Where did you come up with this statement about thier profitability. Thier financial statements?

What protion of thier cost structure is labor?
What is thier profit margin?
How would an increase in min wage effect those two.

[RR]

[ QUOTE ]
I suspect the vast majority of minimum wage jobs produce significantly more value than $5.15 per hour + a one or two dollar increase.

If this weren't the case McDonalds and Burger King wouldn't be so fantastically successful, and they certainly would have been much LESS successful in previous years when the minimum wage was more valuable.

[/ QUOTE ]

This is false. Labor is always paid by what it produces on the margin. If a min wage worker was able to produce something worth significantly more than the min wage they would sell their skill to a different employer.

Does anyone anywhere have an argument supporting the min wage increase other than "sticking it to "the man." I am a non-political person. This is the only issue that brings me over here because it makes me really upset. Policy makers are aware that increasing the min wage will hurt the very people they claim to help, but since most min wage workers haven't studied economics they can win some votes by voting to increase it.

[xorbie]

[ QUOTE ]
This is false. Labor is always paid by what it produces on the margin.

[/ QUOTE ]

lmao.

[RR]

[ QUOTE ]
[ QUOTE ]
This is false. Labor is always paid by what it produces on the margin.

[/ QUOTE ]

lmao.

[/ QUOTE ]

You don't think this is true? Give an example of a situation where someone produces something of more value than he is paid.

This is wehre a lot of people that don't understand economics go wrong. If you average what each laboror produces it will be a number that is higher than what they are paid. Wages are determined by what the "last" worker produces. If McDonald's (which generally pays above min wage) had one person back there cooking they would be worth a lot more than what they make right now, but they have many people back there working.

[nietzreznor]

[ QUOTE ]
Outside of that, you think it is ok to keep people in poverty? What solution would you have to help these people not live week to week on small paychecks?

[/ QUOTE ]

What keeps these people in poverty? Is it free exchange, free individuals making mutually beneficial trades with one another, trading value for value--or is it the partnership between Government and Big Business? The fact that competition--which should drive wages up and prices down--is stifled by government's incessant "progressive" regulation, pro-corporation benefits?

The problem with pro-minimum wage arguments (besides the fact that they ignore how min wage causes unemployment and rarely actually raises real wages) is that there is always the implicit assumption that it is the natural condition of the market that the vast majority should live in poverty while the rich few exploit them--so we need the State to set things right. But it is the State that is largely responsible for these conditions in the first place. Where would we be without the State to dangle the panacea of "minimum wage" before us, a crutch to offer us after they broke our [censored] legs.

[xorbie]

i know what a margin is. i know what a derivative is. if you honestly think that every employee is being paid by the marginal value added by their labor, this is simpy a preposterous position. i would wager that every large enough corporation has several workers being paid far more and far less than what they produce on the margin.

[xorbie]

[ QUOTE ]
The fact that competition--which should drive wages up and prices down--is stifled by government's incessant "progressive" regulation, pro-corporation benefits?

[/ QUOTE ]

perfect competition is an assumption. it's not a particularly valid one in most cases, although it is often a good approximation.