A Case for Ending the Minimum Wage

Well, I thought the article I wrote about the other day had a pretty good explanation of why it was not such a good idea to raise the minimum wage.

It looks like at least some people still don’t get it, so I’ll try again. 😉

I think a lot of people probably still have the mindset that there’s a simple solution to the problem of poverty. Just give poor people enough money to raise their income higher than the poverty level and then everything will work out fine.

Sorry to say it, but it’s not really that simple. If it was, we would have eliminated poverty a long time ago.

There are so many things that contribute to the problem of poverty (poor education, bad attitudes, destructive family life, etc). I don’t know if we will ever be able to solve it completely.

I think we have done a pretty good job here in America.  The poorest people here are better off than the richest kings were 100 years ago. They’re richer than billions of people in the rest of the world.

So, poverty is a relative thing. No one here in America really has to worry about starving to death. There ARE ways for them to get help.

As for the minimum wage laws, they are not going to help anyone for more than a short time. These laws have been tried in the past and they have failed. The main thing they always do is to keep the most vulnerable people (those without much experience or job skills) out of the job market. Without that foot in the door, they can’t ever move up out of poverty.

The unemployment level rises. More people go on welfare and other aid programs. More people get used to the idea that they can get by that way (NOT having to work) and so they’re worse off in the long run. So are the rest of us.

Personally, I think it’s a bad idea to have large numbers of people living on ‘charity’ (government aid or private aid). I think it encourages a bad attitude towards other people and about life in general. I think people do better when they have some sort of goals to work towards, some purpose in life. Maybe working at a minimum wage job isn’t the BEST way to live your life, but it does give you a decent way to start down the road to your chosen path in life.

As for the remaining low skill workers, the ones who did manage to keep their now higher paying jobs, they will not be better off for very long either. You raise the minimum wage and pretty soon all the rest of the wages will rise too.

Maybe you think that’s a great idea. Your paycheck will have more dollars in it! Yes, it will, but there’s a little thing called “inflation” that comes along when wages rise. That inflation will not only give you more dollars in your paycheck, it will make everything you want to spend those dollars on cost more!

How many people really think they will wind up better off once that starts? I’m pretty sure I won’t be. I know from past experience that most people are worse off than they were before they got that raise they wanted so badly.

Maybe the little video will help convince you. I know these guys (Thomas Sowell, Peter Schiff) are much more informed than I am, they’re experts on this kind of thing.

Maybe I’m not an expert, but I can extrapolate a few things. I read a lot. I listen to people who have been there, done that. I try to learn from other peoples experience.

I totally agree with the comments in the video and the well meaning people who say that a person shouldn’t have to live in poverty while they’re working a full time job. My objections are only about how to make things better for them. I don’t think raising the minimum wage will help.

I hope to start a discussion here along with the one that we should be having nationally. It would be nice if we could do something effective to help people instead of just try one more time to do what has already failed numerous times in the past.

How about we try to come up with some different solutions to the problem of poverty? Instead of the simple answer of raising the minimum wage, (that has already been proven a failure), we try to come up with some other ideas? Something that might WORK?

 

Comments appreciated here