February 15, 2013
Why Not a $100 Per Hour Minimum Wage?
President Obama announced that he's supporting a federal, inflation-adjusted minimum wage increase from $7.25 to $9.00 per hour. Even if he settles for $8 per hour, this seems irresponsible in light of our stubbornly slow economic recovery. But if the government is going to raise the minimum wage, why stop at such a low wage rate? If higher minimum wages are so wonderful, why don't we just raise the minimum wage to $50 or $100 per hour? I'll answer that and conclude with why I believe the assumption that employees need to be protected from employers, and the resulting legislation which places the primary responsibility for a successful employer-employee relationship on the employer, makes for less productive employees, and results in employees who stay and stagnate, instead of moving on to other jobs and responsibilities to earn more money, respect, or job satisfaction. Liberal politicians often refer to economic studies showing that increases in taxes or minimum wages have little or...(Read Full Article)