Is anyone ready for this??? Wages goes up?

[Twin Locusts]

What is the correct minimum wage/price for goods services?

What the market will bear.

Why pay 7.50 an hour when you can get an entire workforce for $1 a day? A workforce for whom $1 a day is a 'better than living wage'?

We lost fair market value when we started mandating a minimum wage.

Sort of.

Whatever 'minimum' the wage is set at, be it $1 or $100 an hour, that amount will become 'what the market will bear' for the least skilled, newest, and most desperate workers. And prices will shift accordingly.

While many sectors of the economy can adapt, some can't. Assets held as cash lose value, past debt shrinks--but that undermines future credit.

It's inflation, plain and simple.

No amount of raising the minimum wage will keep that wage from being a crap wage.

So why do it?

Because it LOOKS good. "Here, I voted to raise your hourly wage by $2".

The ramifications of devaluing the currency don't enter into it. But they are far reaching--and they slam into the very people that the minimum wage was raised to help with far more damage than anyone else.

Well put. How can a concept as simple as Market Value be so hard for people to grasp? The American Public School System.

[Darkangel]

Good job Brett good luck with finishing up your degree. Larry, did you go or finish college? Just curious, if so what did you major in? It's interesting to learn where we all got our start before haunting.

Education is the key and now a days a bachelor's degree only gets you in the door you need more to move up the ladder.