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Old 01-27-2020, 11:49 PM
 
1,485 posts, read 776,647 times
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Quote:
Originally Posted by Gantz View Post
Federal minimum wage should be $0, however individual states should have any kind of minimum wage they wish. That way there is competition/policy experimentation between states and people voting with their feet.

If people think raising minimum wage does not increase unemployment at the bottom, and businesses would just pay $15 an hour to someone whose productivity is only $10 an hour and not try to replace that job with a touchscreen device, why stop at $15? or $20? Just pass a law that the minimum wage should be $1,000 an hour.
Gantz, to the extent of its purchasing power, the minimum wage rate reduces incidents and extents of poverty among the working poor. It additionally bolsters the median rate.

Due to wage differentials, the minimum rate affects upon the 40 percentiles of U.S. employees earning the lowest wage rates,range from critical to substantial.
If minimum wage rate’s too low, it’s not possible to achieve a median rate of sufficient purchasing power.

A lower minimum wage reduces the costs of many manual tasks and does not encourage automation. Automation reduces production costs, and/or increases consistency of quality, and/or improves the quality of products.
Minimum wage rates of the poorest purchasing powers are characteristic of the poorest national economies. Permitting reduction of our minimum rate’s purchasing power is detrimental to our economy.
Automation has always contributed to the improvement of our economy.

Respectfully, Supposn
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Old 01-28-2020, 04:16 AM
 
1,485 posts, read 776,647 times
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Quote:
Originally Posted by Gantz View Post
… If people think raising minimum wage does not increase unemployment at the bottom, and businesses would just pay $15 an hour to someone whose productivity is only $10 an hour and not try to replace that job with a touchscreen device, why stop at $15? or $20? Just pass a law that the minimum wage should be $1,000 an hour.
I’m aware of no nation’s economy ever having been harmed by an excessively high minimum wage rate. Although it’s conceivable that could happen, I haven’t conceived as how that harm could or would occur. Respectfully, Supposn

Excerpted from the thread, H.R. 582, “Raise the wage act”:
Quote:
Originally Posted by Supposn View Post
H.R. 582, “Raise the wage act” is a good bill, but opponents of the bill will refrain from mentioning the minimum hourly rate will not be $15 until 7th year after the bill's passage.

In the likely case that it's not passed through and added to our federal statutes, I urge U.S. Congressional members to continue striving and pass a bill that would increase the minimum wage rate by 12.5% of its purchasing power until it attains 125% of its February-1968 purchasing power. Thereafter the rate should be monitored and annually adjusted to retain that purchasing power.
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Old 01-28-2020, 08:09 AM
 
Location: Guadalajara, MX
6,844 posts, read 3,312,663 times
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Quote:
Originally Posted by Supposn View Post
Lieqiang, back-peddle how?
Running from your phrase gun to the head.

Quote:
Originally Posted by Supposn View Post
There have been numerous criminal and civil cases won against defendants’ claims of having engaged only in “mutual agreements”. Judges and juries deemed the defendants’ negotiations were illegally coercive.
We'll let you know when someone who walks into Walmart, asks for a job, then agrees on a wage is legally considered "conditions involving harm or threats of harm" until then you're doing a lot of hand waving without really bringing anything relevant to the discussion.
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Old 01-28-2020, 10:30 AM
 
1,485 posts, read 776,647 times
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Quote:
Originally Posted by lieqiang View Post
Running from your phrase gun to the head.


We'll let you know when someone who walks into Walmart, asks for a job, then agrees on a wage is legally considered "conditions involving harm or threats of harm" until then you're doing a lot of hand waving without really bringing anything relevant to the discussion.
Lieqiang, the term “holding a gun to someone's head” and this discourse regarding what is a truly a matter of mutual agreement rather than lower wage rate earners’ more or less desperate needs and poorer negotiating conditions, was precipitated by your introducing the term into our correspondence. I’ve been responded to your particular concerns.
Respectfully, Supposn
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Old Today, 10:43 AM
 
6,653 posts, read 2,429,582 times
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Quote:
Originally Posted by Supposn View Post
The poorest national economies are characterized by their wage rates’ poorest purchasing powers and their lagging behind the world’s progressive adoption of automation. Automation has always been to USA’s net benefit. But even if automation should not be to our benefit, low minimum wage purchasing power is certainly economically net detrimental to our nation.
This is correct. Automation is going to happen no matter what the minimum wage is. The days of 30,000 workers with lunch pails going to the factory are long gone and will never come back.

Whether or not raising the minimum wage is beneficial or harmful depends on the state of the economy. If there is a shortage of capital, then raising the MW will cause increased unemployment because cash-strapped companies will be more cash-strapped. OTOH, if there is an excess in capital and the economy is restrained on the demand side, raising the MW is stimulative, will raise GDP, and a decrease in unemployment as companies have to hire up to meet the increased demand.

The U.S. is definitely in the latter state -- an excess of capital abounds due to Trump's tax cuts (which are heavily skewed to the wealthy) and other supply side policies. Raising the MW under these conditions is stimulative because the low end will spend their pay raises, increasing demand for goods and services, forcing companies to hire up to meet that demand. We saw that in California when MW went up by over 50% while unemployment was cut by more than half.
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