Hating those who are successful and blaming them for the lack of success of others, has become a disturbing trend, especially among young people. I think part of the problem is the fact that many have subscribed to the false notion that if you work hard you will succeed. This is a lie that has been repeated so much that most don’t even question it. Continue reading
I hear this argument all the time when discussing Minimum Wage laws: “How is a person supposed to survive, making X dollars an hour?” The answer, of course is, you’re not. The idea that every single job should pay enough to support a person and his whole family, is ludicrous. Think about the last time you paid someone to do a job for you; a plumber, landscaper, painter, or whatever. Did you come to an agreement on the price based on how much money the worker needed in order to pay his bills, or did you pay him or her based on the job performed? Continue reading
One of my favorite things about writing, is trying to come up with different ways to take a complex issue and simplify it for others to understand. I find the Minimum Wage to be one of the most frustrating topics in politics, because the most basic and important law of Economic Science–the law of Supply and Demand–already tells us exactly why setting a minimum price on labor is a bad idea.
But Economics isn’t as interesting to most as it is to me, so I wanted to come up with an example to illustrate the unintended consequences of minimum wage laws, without having to talk about supply and demand. I thought it’d be worthwhile to take a look at what the consequences would be if we were to apply minimum price laws to something we’re all familiar with. Continue reading
It seems like the more complex a political issue is, the more it gets over-simplified by the Left, who have become experts at turning everything into a black-and-white situation. Whenever they present their solution to the public, they always start with the false premise that their solution works. Rather than make the debate about which policies would actually solve the problem, they would like everyone to come to the quick conclusion that if you are opposed to their solution, you must be against any solution, and you just don’t care about the people they are trying to “help.” Continue reading
Minimum wage laws are one of the best examples of the negative unintended consequences that often result from good-intention laws that end up hurting the very people they are meant to help. For those who lack the most basic understanding of economics, it may seem like common sense. If there are people who don’t make enough money, why not just pass a law requiring that they be paid more?
Labor as a good
The problem with this approach becomes obvious once we start thinking of labor as just another good that is sold on the market. When we work for an employer we are essentially selling that employer a service. Economic laws apply to this good just as well as they apply to goods like milk, meat, etc, and yet many would agree that there is no need for government intervention when it comes to the price of these other goods. Continue reading