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RE: Minimum Wage Economics and the Debate for Humanity

in #money7 years ago

Minimum wage opponents will usually say minimum wage pushes away companies from hiring more people and lowers economic growth, which is true, but they don’t take into account the trade off of wellbeing.

...I believe that everyone who works a job, should be able to afford to at least exist. They don’t need to be able to afford every luxury, but they should be given enough in order to be able to pursue higher learning if they so desire.

But if minimum wage prevents companies from hiring people, then fewer people will be able to "afford to exist". Is it not better for there to be more jobs so that people can earn money--even if they do not support a lifestyle without supplementation--than to have fewer jobs that do support a lifestyle on their own?

There are, after all, many situations in which people might not need a "living wage" from their job. You mentioned younger people who are likely to live with their parents. There are also retirees who already own their homes and receive social security or pensions, who just want a little extra income. There are mentally and physically disabled people who are afforded a little autonomy by having a simple, part time job. There are entrepreneurs and students who take part time jobs to help them while they complete their studies or launch their businesses. There are teachers who take jobs during summer breaks.

So many people in those types of situations lose the ability to find work every time the minimum wage is raised, as companies lay off employees and cut hours in order to be able to afford to pay the new minimum, or switch to automation. So many small businesses are endangered by these wage hikes, as well. This type of legislation really favors large corporations at the expense of small businesses and startups. It doesn't seem very humanitarian to me to pass arbitrary rules that prevent people from being able to find work on their own terms.

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I'm run a small business. I can't afford the proposed new minimum wages. BUT I wish I could. I have a few awesome employees who deserve everything. BUT I need to be helped to be able to help my staff. And then I feel furious about government control. They take every bit of extra cash for themselves while I suffer and my staff suffer.

Exactly @lesliestarrohara

It's maybe "humanitarian" in the moment, and then a ripple effect of devastation to the people you were trying to help (people who don't need additional challenges).

I can't add anything to what you've said, but just want to say that frankly I'm tired of people being categorized as not "humanitarian" (or implied to be that) because they happen to understand that this is the effect.

(Of course it's a projection, and we're actually the humanitarians, whether or not we go around calling ourselves that.)

@caleber24p, you can't separate the economics from what's humanitarian.

It's like saying "ignoring human physiology, let's give a huge dose of methamphetamine". The physiology is why it's bad to do that.

The economics is the point. It explains what the effects are on people, and the humanitarian thing is to consider it.

I concur that the most free market (especially today with widespread technology use and instant communication) we have the best chance to get the best outcomes. Small business won't be encumbered by rules, and everyone literally (most people never mention this) won't be bogged down mentally by the simple state of there being so many laws on the books they have to worry about to run a business!

Some business doesn't pay enough or is unfair? FINE, start your own business, switch companies, post a bad review, tell your friends the experience, do your best to chastise them and I bet the situation will change. Companies can so easily get bad PR with social media that it's really hard to be a jerk these days UNLESSS they're a jerk because they have to abide by draconian laws.

humans becoming kiosk. lols.

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