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Minimum Wage Laws Equal Less Jobs

"With Obama's recent push for an increase in the minimum wage to $9/hour, it's important to look at the consequences of a minimum wage of any (economically relevant) amount. Unfortunately, when one looks at the situation from a logical, supply-and-demand point of view, it becomes obvious that the minimum wage is another example of a law backed by good intentions with unintended, harmful consequences.

Firstly, it's completely dishonest to claim that without the minimum wage, we'd all be starving and forced to live off six pennies a day. If a company posted a job for $0.25/hour, I can almost guarantee that they wouldn't get any applications. Labor is a market, and there's a balance. While workers may have to impress employers with their experience and education and such, employers also have to compete for workers. To attract workers to their business, they might offer competitive pay, good medical benefits, advancement opportunities, a good work environment, etc. In a free market, this balance between available jobs and workers is kept relatively stable. It's when the government involves itself through economic regulations like price (wage) controls that the market gets distorted and one group is put at a disadvantage to another."

Read the rest at:
http://simplefactsplainarguments.blogspot.com/2013/02/minimu...

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Easy way to show the

Easy way to show the fallibility of minimum wage laws.

Progressive: Minimum wage laws protect the most vulnerable of our society. People should pay more for products when minimum wage increases because it will support our country's lowest income earners. It is the right thing to do since, we are all a part of the social contract.

You: Why not ask congress to enact a law on a given day that forces all business owners to add a zero at the end of all their pay roll accounts and set a decree that all money is now worth ten times its original value? I mean, it is essentially what you are doing by raising minimum wage, except it speeds up the process.

Progressive: Why didn't I think of that before!?! I'm calling my congressman today..!!

Southern Agrarian

Good post

Minimum wage laws hurt employment and at a time of high unemployment, why would the government want to increase minimum wage or even have a minimum wage?
The only answer to that question I can come up with is the government wants to create more dependency and thereby increase the power and control that government has in peoples lives.

Cyril's picture

BUMP.

BUMP.

"Cyril" pronounced "see real". I code stuff.

http://Laissez-Faire.Me/Liberty

"To study and not think is a waste. To think and not study is dangerous." -- Confucius

Cyril's picture

Nice article.

Nice article.

Along the same lines, I found the expose linked from there very well done, educative as well:

http://www.dailypaul.com/256046/how-the-minimum-wage-is-not-...

Shortcut to video:

http://www.youtu.be/Ct1Moeaa-W8

'HTH,

"Cyril" pronounced "see real". I code stuff.

http://Laissez-Faire.Me/Liberty

"To study and not think is a waste. To think and not study is dangerous." -- Confucius