Quote:
Originally Posted by Finger Cookin
The article does go on to say "Is this issue more complicated than I’m making out? Of course. Are there many factors at play determining the dynamics of employment? Yup. But please, please stop insisting that if we pay low-wage workers more, unemployment will skyrocket and it will destroy the economy." The latter is the heart of his point, I think. Not so much that a higher minimum wage guarantees a vibrant city. But that it doesn't guarantee economic ruin.
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I wanted to expand a little more in regards to wealth re-distribution which is whats essentially being proposed here.
There is only one pie and its only so big, when raising the minimum wage we're re-distributing wealth to the lower class, we're not printing new money and giving it to these people (making the pie bigger) but if we're re-distributing it then where is that money coming from?
It has to go from one pocket to another.
The guy that wrote that article is a multi-millionaire. Do you think its going to be his money?
Nope. Not a chance in hell.
His money is likely tied up in Real Estate, cars and various investments and
savings. Thats important.
So whose money is it going to be? Who is going to be taking less so others can have more?
I'll let you in. Its the same people who already pay the most taxes and who are already giving the most and being squeezed the hardest. The middle-class.
So yeah, I'm sure the multi-millionaire is all for it because it likely wont affect him in the slightest.
He had a good point about moving money from the savers (high income) to the spenders (lower income) in order to stimulate economic growth, thats been happening since forever, but whats really going to wind up happening is the people struggling on the lower end of middle-class are going to fall out, the middle class get squeezed harder and the upper class arent going to even notice.
So they've re-distributed wealth but they've done it all wrong.