Just because I don’t agree with your solution doesn’t mean I don’t care.

(Note: I started this post back in July of last year. I got distracted and never finished it. Usually I let these posts die but I still have something I want to say here.)

Kayla Chadwick can’t talk to me because she sees me as uncaring and she’s through talking to people who don’t care about other people in society. She’s come to that conclusion because of my stance on the Federal Minimum Wage, she wants to raise it, I want to eliminate it, public education, she wants to fund it at a higher level, I’d like to see vouchers and more charter schools, and healthcare, she would like to see a federal single payer plan and I’d like to see healthcare taken over completely by the states.

Our disagreement is not merely political, but a fundamental divide on what it means to live in a society.

Source: I Don’t Know How To Explain To You That You Should Care About Other People | HuffPost

I do care. I just think that there are better ways to solve these problems than she is considering and I think she considers her solutions to be the only ones a caring person would provide. And because this article has been making its rounds among my friends I want to address the solutions I’d like to see implemented. For now I’d like to address the minimum wage.

We have a real problem in this country with low wages and just raising minimum wages isn’t going to help that. In fact, by raising minimum wages you could be reducing the number of employers creating a reduction in the supply of jobs which in turn will create downward market pressure on wages.

The solution to low wages is more jobs, not fewer. You want more employers competing for fewer workers so the only way you can do that is by increasing the number of jobs that need to be filled or reducing the population of workers. We aren’t going to reduce our population of workers anytime soon so we have to create more jobs to the point that it’s difficult to find workers to fill them. That’s how you increase wage growth.

So how do we create more jobs? Create more employers. We look at anything that the government is doing to discourage entrepreneurship  and we rework what government is doing to where it is encouraged for people to create their own businesses and grow them to employ people. Don’t make it so hard for the little guys to hire people. Make it less expensive for the big guys to maintain and grow their workforce.

Corporate tax reform is probably where all of this should start and don’t just look at helping the huge corporations, look at what the little guys are having to do and help them.

I’m also wondering if there isn’t some way to encourage companies to give raises. Minimum wage is where you start an entry level employee. No one should stay at entry level wages for more than six months. If an employee isn’t worth a raise at that point they need to be fired and someone who is worthy of more money hired for the position. I don’t know how to encourage that but it is something that needs to be talked about and a solution found.

Of course that runs the risk of an employer never intending to employee an entry level employee longer than six months. I honestly don’t think that would be a huge problem. I can’t see an employer remaining in business long without building a good workforce but it would happen.

Still, with full employment workers start becoming scarce and wages go up, entry level workers even become hard to find under full employment. So that’s the ultimate answer, create more jobs and the market will take care of increasing the wages.

Creative Commons Attribution 3.0 Unported This work is licensed under a Creative Commons Attribution 3.0 Unported.

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