Sunday Opinion: Are Americans entitled to a minimum wage?
- Financial diversity is inevitable
- A wage is a price, it’s a price the employee sets for their own labor
This past Wednesday, President Obama expressed approval for a Senate proposal that would increase the minimum statutory pay from $7.25 to $10.10 per hour.
During his speech in the D.C. neighborhood of Anacostia, President Obama argued that income inequality is "the defining challenge of our time.”
So, are Americans entitled to a minimum wage? No.
The American left fails to understand that your wage is a price, it’s a price the employee sets for their own labor. This concept applies to all people of all ethnicities and gender.
The salary or wage an employee agrees to becomes the value that employee places on their own labor.
If an employee feels their human capital is more valuable, they ought to find an employer that will pay more.
But I know many of you disagree, you think the government should mandate a living wage.
But let me ask, why do you stop there?
Scholar Thomas Krannawitter asked an interesting question in a blog posted to Facebook on Saturday.
Krannawitter suggests that if our government can dictate the minimum wage a business must pay, why does our government not dictate the minimum number of employees a business hires?
“If we can dictate by law how much a business shall pay an employee, why not also dictate how many employees it shall have? Let us count the number of unemployed Americans (numerator), divide it by the number of businesses in America (denominator), and force each business to hire the resulting number of employees (quotient).”
Such a solution would solve unemployment, right?
Absolutely not. Government interference on issues of income inequality are nothing more than social engineering.
Outcome based economic inequalities will never be eliminated. Financial diversity is inevitable and it is a tough reality that minimum skills, plus minimal education, plus minimal experience, often results in minimal pay.
No government mandate will change that. Government engineering will only pervert the engine that fuels a successful economy.
Produce more than you are paid, ensure a profit for your employer, deliver more than you demand, be an entrepreneur and treat people with respect at all times.
That is how success is earned in America.
Follow the author of this article on Twitter @CalebBonham