So the theory (see "general equilibrium theory" of "welfare theorems of economics") is that increasing the supply of labor (or any other input for that matter)

So the theory (see "general equilibrium theory" of "welfare theorems of economics") is that increasing the supply of labor (or any other input for that matter) results in greater total output. And since the more expensive labor is the the labor of "great" programmers, increasing the supply of great programmers results in a greater increase in total output. In general, economists (including myself) assume that increases in total output are always worth it, because the taxation system can account for the redistribution effects. This isn't guaranteed, since redistribution isn't free (some estimate that $1 of tax revenue costs $1.30 to the economy), but I think it's a very good rule of thumb. So if you want to help the middle class you should support a more progressive taxation system, not higher wages [1]. [1] and by higher wages I mean higher wages for their own sake. Making workers more productive, which might raise wages, is also a good way to do this.