Wednesday, April 26, 2006

Crap Editorial in Today's Advertiser

In today's Advertiser they chose to run an Guest Editorial on Minimum and Livable Wage. This column's author is Earl Hargroder and it seems he has been "drinking the Kool Aid" of Fox News.

Here are my thoughts on his piece:

I see, it's not that people are not getting paid a LIVING WAGE, it is the perception that they are not getting paid a LIVING WAGE! People are not POOR - It's that they perceive themselves as POOR - What crap!

I especially like how he goes through expenses and states which are "TOO MUCH" he would actually have people jump on the bandwagon to tell people that their expenses and choices are wrong... - "who needs to eat three times a day, one can get by with two meals" doesn't seem to be far off from his thought process.

Unbelievable... The auto industry has made it's own bed, now they must lie in it. If they would have supported Single Payer Healthcare system a decade ago they wouldn't be in the bind they are today. Also if they would have spent the time on R&D a decade ago we would be driving the cars from the future today as well! Imagine a company that invested in this a decade ago and now offered vehicles that could get 60-90 miles per gallon... Those would be the cars FLYING out of the dealerships... Instead as most businesses do these days - they look for the quick buck, not the long term.

Prime examples here locally - BELL SOUTH - in 10 years time there won't be the need for "LOCAL PHONE COMPANIES" - one pipe will service all communication needs and unless and until Bell South addresses this they will be out of business. Their merger with AT&T seems wise as at least AT&T is looking towards the future... But the blow back on these companies for their unfair tactics in the marketplace - trying to legislate their reason for being will ultimately be their undoing.

This ultimately does tie into undocumented workers as well. The corporate addiction to these individuals is vast, and these companies are not paying them even minimum wage in many situations, thus corporations can continue to take advantage of these individuals all the while wages are depressed.

The frustrating thing to hear is "Americans won't do this work...." However they never seem to finish this sentence... The facts are "American's won't do this work, for that wage."


Anthony Fazzio said...

Do an entire show on Meet the Democrats about minimum wage!

GumboFilé said...

Labor is the product for sale.

The demand for labor is not fixed. When the price goes up for a product with unfixed demand, the demand correspondingly goes down. When the price of labor goes up, the demand goes down. When the demand for labor goes down, unemployment goes up.

It only happens on the margin so statistically it's insignificant. However, to those marginally employable low-skilled workers who are thereby displaced it is critically significant.

It helps those who remain employed at the expense of those displaced because the same payroll dollars are chasing fewer workers. Minimum wage legislation does not magically increase the payroll dollars available.

I said all that without calling your position crap. Perhaps if I had no sound argument I would resort to such. If you have to resort to trashing your opponent or his position it speaks poorly of your argument.

David in Grand Coteau

Anthony Fazzio said...

Even the most ardent contemporary capitalist believes that we have advanced to the poinbt that a mnimum wage is both necessary and justified. c.f. Hayek

Nick said...

I agree with gumbofile, though I say that at this point, there can't be anything wrong with at least 5.15/hr. minimum wage.