I guess I would ask, who determines that? What has value, what job is worth more than another's, what determines poverty, etc?
Is it the government or the free market?
Also with that premise which I obviously (no surprise I'm sure) disagree with, who is to say "how much is too much?"
So I've been thinking of an example and if it's bad I apologize but it's the simplest and easiest way I can think if it.
Let's say I own/manage a restaurant. After paying for all the lights, building, food, etc I am left with $100. I employ a bus boy, hostess, waiter and cook.
I take $50 for myself
$20 for the cook
$15 for the waiter
$10 for the bus boy (because I think it's harder work)
$5 for the hostess
$5 is the state/federal minimum wage.
$10 is the minimum to "exceed" the poverty line.
If the federal/state government passed a law now requiring all employees be paid a minimum of $10 here are the possible scenarios.
A) Pass it to the consumer - I don't want to fire anyone. So I raise the cost of my meals. (Possible negative side effects are less customers = less money = firing someone/bankruptcy)
B) Pass on the work - I fire the hostess as I can easily do that myself and keep everyone else's pay the same and the consumer cost the same ($5 for hostess is put into my pay or whatever else I decide)
C) Spread the wealth - everyone takes a "cut" in pay to make up the difference for the hostess.
D) I take a cut - instead of me making $50 I take a cut to make up the difference.
Now if you were a business owner who's goal ultimately is to make money which one is more likely to be chosen.
Also comes the question, should the government tell private business owners what to do, how much they can make, etc?
Remember the affordable care act. Many businesses just cut people's hours to make it legal for them to not have to give them health care. IF that was unfair the government certainly didn't think so when they wrote the law.
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