4 ms·

In those cases where supply is less than demand someone has to pay more. If there are no 7.50 an hour or 1 dollar an hour employees they need to pay at least $

by wolco2 6y ago

In those cases where supply is less than demand someone has to pay more. If there are no 7.50 an hour or 1 dollar an hour employees they need to pay at least $15. If someone is valued at less than 15 the owner still has to pay more. Same as in sports there is only one Michael Jordan you may value his services at 7.50 an hour but others will pay millions. Either you overpay or your position goes unfilled.

sokoloff 6y ago
In my experience, most of the opponents of minimum wage laws are not opposed to market wage realities. If the market values your labor at $25/hr, neither you or I care whether the minimum wage is $7.50/hr or $15/hr (with respect to you). If you can create $10/hr of value for a business, I think there's a reasonable argument that it's better for you to be able to have a job at $8 or $9/hr than to declare that arrangement illegal and force you to either be unemployed or find an employer who is willing to for whatever reason to pay you $5/hr more than than the value you contribute to the business.
- wolco2 6y ago
  As a society it is not better. If they refuse to staff at $10.00 they do not hire or gain additional marketshare. Another company will take that business at that level. Or no company will step up and that will raise prices. Minimum wage simply creates a market floor.
  - sokoloff 6y ago
    IMO, minimum wage both creates a market floor and by doing so shuts some people out of the labor market at the margin.
    - wolco2 6y ago
      It shuts someone from a 10 dollar job that doesn't exist. But it doesn't shut people out of the labor market. Removing the floor creates a new cheap labor market where Americans are shut out because they can't afford to live in that wage group. That's why the cost of living should be connected to min wage. Take vegetable picking as an example. No one will pay an American min wage so they can't fill those jobs. They want 3 dollars an hour workers. No American can afford to live on that so they are shut out of those jobs. They import temp workers who can convert $3 American to $20.00 their currency and can live a higher standard of living to their peers. Removing the floor killed thousand of American jobs. Why would we import it to other industries?

by wolco2 6y ago

sokoloff 6y ago

In my experience, most of the opponents of minimum wage laws are not opposed to market wage realities. If the market values your labor at $25/hr, neither you or I care whether the minimum wage is $7.50/hr or $15/hr (with respect to you). If you can create $10/hr of value for a business, I think there's a reasonable argument that it's better for you to be able to have a job at $8 or $9/hr than to declare that arrangement illegal and force you to either be unemployed or find an employer who is willing to for whatever reason to pay you $5/hr more than than the value you contribute to the business.

wolco2 6y ago
As a society it is not better. If they refuse to staff at $10.00 they do not hire or gain additional marketshare. Another company will take that business at that level. Or no company will step up and that will raise prices. Minimum wage simply creates a market floor.
- sokoloff 6y ago
  IMO, minimum wage both creates a market floor and by doing so shuts some people out of the labor market at the margin.
  - wolco2 6y ago
    It shuts someone from a 10 dollar job that doesn't exist. But it doesn't shut people out of the labor market. Removing the floor creates a new cheap labor market where Americans are shut out because they can't afford to live in that wage group. That's why the cost of living should be connected to min wage. Take vegetable picking as an example. No one will pay an American min wage so they can't fill those jobs. They want 3 dollars an hour workers. No American can afford to live on that so they are shut out of those jobs. They import temp workers who can convert $3 American to $20.00 their currency and can live a higher standard of living to their peers. Removing the floor killed thousand of American jobs. Why would we import it to other industries?