Do You Hate Poor People?

If you hate poor people and want them to become even poorer, the best thing to do is pass minimum wage laws. There is an added benefit for proponents of minimum wage laws. Supporting these kinds of things publicly makes you look like a kind and caring person. For the sinister, this is a way of destroying people and looking good to others at the same time.

You can point to the benefits. Find some recipients of the new minimum wage. Put them in front of a camera to prove it was a good idea. Don’t worry about being knocked off. Costs of these kinds of things are completely invisible in the present moment. Be a virtue signaler. No one will suspect that you are rotten down to the core. Support minimum wage initiatives, look good to others and hurt the poor at the same time. What could be finer for a genuinely sinister person.

St. Louis just passed a new minimum wage law. Sit back and watch the misery grow.

The destructive nature of the minimum wage concept is not hard to understand. There is no chance of a net gain to the poor in general. Claiming to increase living standards with a minimum wage is like touting the invention of a suspended animation machine. Suspended animation is not possible given the limitations of the laws of physics. Increasing living standards by passing minimum wage laws is not possible given the laws of survival which are the basis of natural law.

Many fantasize that business owners will suddenly modify the profit motive that keeps them in business and share their profit with employees to a greater degree than the natural labor market dictates. In a million years this will never happen. An economic system must accommodate human nature.

What happens when a minimum wage is in effect is a huge glut of unemployable people emerge and  act as a permanent drag on the entire economy.  Wages really only increase on a net basis when everyone is employed at what the market will bear. Labor shortages occur and employers must bid up wages to find employees. Anything short of letting the free market work turns out to be a net loss to the poor who are ostensibly helped by laws that are passed. With minimum wage laws a few make more but fewer work at all. There is no way it can turn out any other way.

 

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About Fantasy Free Economics

James Quillian is an independent scholar,free market economist, teacher of natural law, teacher and originator of the Fantasy Free approach to economics. James Quillian does not believe lies. Contact: news@quillian.net
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