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Further, we'll still need janitors. No matter how many new companies these new entrepreneurs create, we still need people to keep the workplace tidy. Sure, we

Further, we'll still need janitors. No matter how many new companies these new entrepreneurs create, we still need people to keep the workplace tidy. Sure, we could all take part in cleaning, but I don't think that's what chii has in mind.

chii 4y ago
but in this case, the value of janitorial services will increase, as there will be fewer and fewer people doing it. Thus, at some point, the balance would be reached where someone would choose janitorial work again. The point of the grandparent post was saying that there should be a blanket raise in minimum wages. I'm saying that there shouldn't be, but that more lucrative opportunities are created instead such as up-skilling into higher paying work, or entrepreneurship (which entails taking a risk, so the state assumes a small amount of that risk for the low income earner to do it). This naturally increases the competition, and then the true value of low-paid work will become apparent.
- AstralStorm 4y ago
  Good idea that does not bear out in practice. Try competing as a one man shop against a Walmart or a franchise... You can sometimes eke out a living thanks to inefficiencies involved in the above, but usually it does not bear out. Usually it is due to covering an inefficiency somewhere else. Such inefficiencies are often transient. Example: in a certain place workers do not have access to food, opening an opportunity for catering. Suddenly a bigger investor comes in and opens a reasonably priced restaurant hiring 15 people and you're out a job, as are 30 other caterers for the area. All because the investor could afford a piece of real estate and look for higher skilled workers. Since your skill is in catering (deliveries) not primarily cooking or serving, you're done. Since the unemployment benefits are insufficient, you're also ending up having to sell property potentially ending up on the street. You cannot upskill really in a 40h/w job while also taking care of a family. You would have to be either taking a long paid sabbatical or a major cut in hours at least for the same pay.

chii 4y ago

but in this case, the value of janitorial services will increase, as there will be fewer and fewer people doing it. Thus, at some point, the balance would be reached where someone would choose janitorial work again. The point of the grandparent post was saying that there should be a blanket raise in minimum wages. I'm saying that there shouldn't be, but that more lucrative opportunities are created instead such as up-skilling into higher paying work, or entrepreneurship (which entails taking a risk, so the state assumes a small amount of that risk for the low income earner to do it). This naturally increases the competition, and then the true value of low-paid work will become apparent.

AstralStorm 4y ago
Good idea that does not bear out in practice. Try competing as a one man shop against a Walmart or a franchise... You can sometimes eke out a living thanks to inefficiencies involved in the above, but usually it does not bear out. Usually it is due to covering an inefficiency somewhere else. Such inefficiencies are often transient. Example: in a certain place workers do not have access to food, opening an opportunity for catering. Suddenly a bigger investor comes in and opens a reasonably priced restaurant hiring 15 people and you're out a job, as are 30 other caterers for the area. All because the investor could afford a piece of real estate and look for higher skilled workers. Since your skill is in catering (deliveries) not primarily cooking or serving, you're done. Since the unemployment benefits are insufficient, you're also ending up having to sell property potentially ending up on the street. You cannot upskill really in a 40h/w job while also taking care of a family. You would have to be either taking a long paid sabbatical or a major cut in hours at least for the same pay.