Best of the Week
Most Popular
1. 2019 From A Fourth Turning Perspective - James_Quinn
2.Beware the Young Stocks Bear Market! - Zeal_LLC
3.Safe Havens are Surging. What this Means for Stocks 2019 - Troy_Bombardia
4.Most Popular Financial Markets Analysis of 2018 - Trump and BrExit Chaos Dominate - Nadeem_Walayat
5.January 2019 Financial Markets Analysis and Forecasts - Nadeem_Walayat
6.Silver Price Trend Analysis 2019 - Nadeem_Walayat
7.Why 90% of Traders Lose - Nadeem_Walayat
8.What to do With Your Money in a Stocks Bear Market - Stephen_McBride
9.Stock Market What to Expect in the First 3~5 Months of 2019 - Chris_Vermeulen
10.China, Global Economy has Tipped over: The Surging Dollar and the Rallying Yen - FXCOT
Last 7 days
20 Days Left to Find Buying Opportunities In Gold - 25th Mar 19
Will the Historic Imbalance in Gold Stocks to Gold Price Resolve ? - 25th Mar 19
EasySMX Wireless Games Controllers Review - 25th Mar 19
Stock Market Short-term Top - 25th Mar 19
UK Population Growth - Latest ONS Immigration Statistics and Consequences - 24th Mar 19
The Fed Follows Trump's Tweets, And Does The Right Thing - 24th Mar 19
Yield Curves, 2yr Yield, SPX Stocks and a Crack Up Boom? - 24th Mar 19
Risk/Reward in Silver Favors Buying Now, Not Waiting for Big Moves - 23rd Mar 19
Similarities Between Stock Market Today and Previous Bull Market Tops - 23rd Mar 19
Stock Market DOW Seasonal Trend Analysis - 23rd Mar 19
US Dollar Breakdown on Fed Was Much Worse Than It Looks - 23rd Mar 19
Gold Mid-Tier GDXJ Stocks Fundamentals - 23rd Mar 19
Which Currency Pairs Stand to Benefit from Prevailing Risk Aversion? - 23rd Mar 19
If You Get These 3 Things Right, You’ll Never Have to Worry About Money - 22nd Mar 19
March 2019 Cryptocurrency Technical Analysis - 22nd Mar 19
Turkey Tourist Fakes Market Bargains Haggling Top Tips - 22nd Mar 19
Next Recession: Finding A 48% Yield Amid The Ruins - 22nd Mar 19
Your Future Stock Returns Might Unpleasantly Surprise You - 22nd Mar 19
Fed Acknowledges “Recession Risks”. Run for the Hills! - 22nd Mar 19
Will Bridging Loans Grow in Demand and Usage in 2019? - 22nd Mar 19
Does Fed Know Something Gold Investors Do Not Know? - 21st Mar 19
Gold …Some Confirmations to Watch For - 21st Mar 19
UKIP No Longer About BrExit, Becomes BNP 2.0, Muslim Hate Party - 21st Mar 19
A Message to the Gold Bulls: Relying on the CoT Gives You A False Sense of Security - 20th Mar 19
The Secret to Funding a Green New Deal - 20th Mar 19
Vietnam, Part I: Colonialism and National Liberation - 20th Mar 19
Will the Fed Cut its Interest Rate Forecast, Pushing Gold Higher? - 20th Mar 19
Dow Jones Stock Market Topping Pattern - 20th Mar 19
Gold Stocks Outperform Gold but Not Stocks - 20th Mar 19
Here’s What You’re Not Hearing About the US - China Trade War - 20th Mar 19
US Overdosing on Debt - 19th Mar 19
Looking at the Economic Winter Season Ahead - 19th Mar 19
Will the Stock Market Crash Like 1937? - 19th Mar 19
Stock Market VIX Volaility Analysis - 19th Mar 19
FREE Access to Stock and Finanacial Markets Trading Analysis Worth $1229! - 19th Mar 19
US Stock Markets Price Anomaly Setup Continues - 19th Mar 19
Gold Price Confirmation of the Warning - 18th Mar 19
Split Stock Market Warning - 18th Mar 19
Stock Market Trend Analysis 2019 - Video - 18th Mar 19
Best Precious Metals Investment and Trades for 2019 - 18th Mar 19
Hurdles for Gold Stocks - 18th Mar 19
Pento: Coming QE & Low Rates Will Be ‘Rocket Fuel for Gold’ - 18th Mar 19
"This is for Tommy Robinson" Shouts Knife Wielding White Supremacist Terrorist in London - 18th Mar 19
This Is How You Create the Biggest Credit Bubble in History - 17th Mar 19
Crude Oil Bulls - For Whom the Bell Tolls - 17th Mar 19
Gold Mining Stocks Fundamentals - 17th Mar 19
Why Buy a Land Rover - Range Rover vs Huge Tree Branch Falling on its Roof - 17th Mar 19
UKIP Urged to Change Name to BNP 2.0 So BrExit Party Can Fight a 2nd EU Referendum - 17th Mar 19

Market Oracle FREE Newsletter

Stock Market Trend Forecast March to September 2019

Counterproductive Minimum Wage Mandates

Economics / Economic Theory Oct 10, 2012 - 06:34 AM GMT

By: BATR

Economics Best Financial Markets Analysis Article

Working for wages has never been the path for significant wealth. Most people are not equipped nor do they have the inclination to be engaged in business endeavors that will earn them a viable living. The reluctance that most workers bring to their occupation stems from their inability or unwillingness of properly understanding the related components that are essential in creating wealth. While many view work as a curse, the indispensable reconciliation for a practical and tolerable acceptance of universal plight is that no one is owed a living.


In a world of Totalitarian Collectivism, the powers that control international economies, seek to pacify the laboring hordes with crumbs from substandard minimum wage mandates. The foolishness that guarantees minimal scale for hourly toil can and will never produce a prosperous society. The entire economic interdependent scheme to destroy the last vestiges of a bona fide "free market" economy is at the heart of minimum wage mandates.

Corporatists love higher minimum wage increases because small business is least equipped to absorb added costs in their operations. Corporatists are in the business of monopoly formation. Competition is a cardinal sin to the globalists. Any governmental imposition that creates added strain on the very viability of potential contenders, eagerly sought by crony capitalism, is destructive to labor.

Wall Street conglomerates intentionally hire few people, when compared to the total work force. The trend to slot part time positions with modest or no benefits or contract employees is the new model. This framework offers little opportunity for the unskilled or first time job seeker.

BalancePolitics.org offers reasons pro and con about minimum wage.

The motivation to impose minimum wage conditions for employment is to control the workforce. Helping the downtrodden is a myth or an outright lie. Functioning businesses must be able to balance their books to survive. Employing productive labor translates into paying a scale that benefits both the business and the worker. In the age of systemic social welfare, it is insulting to claim that minimum wage laws grow the economy or increases labor opportunities.

Talk Of Liberty, in Abolish Minimum Wage makes the point:

"If you make minimum wage, most likely you are on government housing, food stamps, Medicaid, fuel assistance and all the other government goodies. My point is if this is the group you are worried about, you shouldn’t. That is the point of this countries welfare system. This is where the Liberals want to have their cake and eat it to. Get rid of welfare and its massive costs if you want higher wage laws, get rid of welfare."

The proper way to hasten a true domestic economic revival is to adopt a "right to work" policy that allows independent businesses to hire people based upon the free exchange and responsibilities of agreed remunerations. Without profitable incentives and relief that small business can secure, taking the risk of employing additional "hired help" is purely academic.

Thomas Rustici, in his scholarly Cato paper, A PUBLIC CHOICE VIEW OF THE MINIMUM WAGE, identifies the nature of the impasse to achieving free markets.

"Before one can hope for the abolition of the minimum wage, the influence of the well-organized, special-interest groups that receive the bulk of the benefits from it must be reduced. There is, however, little chance that such groups as Northern unions and businesses, or interest groups in general, could be barred from the political process in the near future."

The problem with any acceptance of government imposition of compulsory wage scales into private employment negotiations destroys opportunities for employees. A job presupposes that a business has a reason to hire added help and can afford the costs of a day’s pay for a day’s work.

A socialized economy inevitably ensures a stagnate workforce. People need to be encouraged to learn the skills that small business demands as the basis for injecting worth and value in order to earn a paycheck.

The answer to the Corporatists/State oppressive economic stranglehold is a workable free market of exchange, barter and consensual business relationships. Liberate your thinking before you can fatten your pocketbook.

James Hall – October 10, 2012

Source : http://www.batr.org/negotium/101012.html

Discuss or comment about this essay on the BATR Forum

http://www.batr.org

"Many seek to become a Syndicated Columnist, while the few strive to be a Vindicated Publisher"

© 2012 Copyright BATR - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules