Economic freedom? More, and more intrusive, regulations on private enterprise over the last ten years have now dropped the United States out of the top ten countries in the world, after Estonia and six places after Canada. Minimum wage legislation is high on the administrations priority list this year (so those wage earners can afford Obamacare?), but simple economics should tell you that as a corporations expenses rise, profits (and tax revenues assessed against those profits) decrease. Prices rise to compensate or the company shuts down (negative jobs growth). Nowhere have I heard discussion of equal work for equal pay, or that a free marketplace will provide its own incentives....if a product or service is in demand, growth will occur naturally. As the labor force needed to provide that product or service shrinks, wages will rise. Lets for a moment theorize that the minimum wage suddenly increases. Prices on goods and services increase proportionately, even anticipating the event (what happens to the price of coffee when there is a freeze in Brazil that only might affect the crop?). Now the better than minimum wage earners want more so they can afford the higher prices, and a union such as the teamsters refuses to deliver goods, or the TSA decides to strike, shutting down air travel, etc. until all levels of the economy are cycled up to a higher (and broader) level of poverty. Over time, wage differences reflect work value differences. A fast food burger flipper will always earn less than a manufacturing machine operator, who will earn less than an attorney, and so on. >92 million people who could be working (using age and fitness demographics) are not. >Jobs creation in the private sector is not keeping pace with population growth. >The government wants to add (for now, and the number will increase) 11 million currently illegal aliens to the workforce (or handout programs population). >Congress is passing a budget containing over a trillion dollars in new spending (and where are those revenues coming from?). We have been in a cycle that uses quantitative easement and interest manipulation by the government to support the moneylenders, but will soon be forced into a cycle of hyperinflation we will be told is necessary, or a correction. ....more like economic slavery.
Posted on: Thu, 16 Jan 2014 05:11:49 +0000
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