But what if those prices weren't deflated at all by the low wages? What if instead of passing their low costs onto the consumer, businesses were just pocketing

But what if those prices weren't deflated at all by the low wages? What if instead of passing their low costs onto the consumer, businesses were just pocketing the difference instead, because prices weren't really based upon the costs to produce the good/service, but on the consumers' ability to pay. In other words, raising wages would have little to no affect on prices. I'm describing a non-competitive market, which of course also describes the majority of the American economy today.