Quote:
Originally Posted by Gozer
You.
There is a wonks policy position (that you seem to hold) that increasing minimum wage is detrimental to private business. It behooves an employer to support this position.
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Okay, assuming this to be true I'm not approaching this from the perspective of an employer, I'm approaching it from the perspective of a consumer.
Be that as it may though, is that assertion not true? Is an artificial increase in wages not detrimental to private business?
You say: 'Management makes too much!'
Thats not a point that I'm inclined to disagree with you on, but it also doesnt really reflect on this particular aspect of business either.
'Private Business.' Thats quite the hefty term. That sort of lumps Joe's Hardware in with Wal-Mart while one has significantly more control of their costs due to purchasing power, diversification and just general overall revenues and cash-flows than the other and can afford certain increases and reduced revenues much more than the other.
Ceteris Paribus, an external force arbitrarily increasing a cost of doing business (in this case minimum wage) to an extreme that takes it beyond what the market deems reasonable so quickly that businesses are not afforded the opportunity to transition smoothly, is that not detrimental to Private Businesses? And even moreso to those that cant control their costs to the same extent as others?
And if something is detrimental to private businesses is that ripple effect not felt through subsequently reduced tax revenue and social costs?
And please dont trot out the tried and tired defense that 'if a business cant make it under these regulations then screw those heathen bastards!!'
Paying people more isnt the issue, its what you're paying them for and why.
Or are we back to businesses just firing people to garner their own
Political Capital...sorry...Taxable Economic Pressure?