Friday, September 3, 2010

Minimum Wage and Social Progress

Minimum Wage 

I do some of my writing by
conducting a kind of discussion
Forum on my FaceBook page.
I have decided to use one of the
discussions on my FaceBook
Wall to share with my Blog readers
on my Pax Village Blog
This is one of those times

Wednesday, March 31, 2010
William Hodge

Louis: How are you on minimum wage?
Do you agree with it, do you think it is
too low and do you have a dollar figure
in mind?

William Hodge: If the minimum wage was sufficient for housing, food and clothing, healthcare and retirment income, we would at least eliminate poverty for those who could work
Anything less is would be exploitation by the 


Louis: And you propose what to get there?
Capping corporate profit margins? Limiting
personal wealth? What’s the missing link?

William Hodge: Either provide government
programs to guarantee a social safety net,
or raise minim wage to a level of Social Parity
and guarantee everyone a job. Pay for it by
taxing Corporate profit and personal income. The Constitution provides that Congress can Tax, borrow, or create money to meet the objectives set out for Government in the Constitution as listed in the Preamble.

Louis     Aren’t those one in the same?
Why don’t we just make all the janitors
in the country CEOs? Sounds fair to me, no?

William Hodge: So that would make you a
Communist wouldn’t it Louis.
Who knew? I personally believe in the
accumulation of wealth. Extradinary achievement deserves extradinary reward.
You just should not do it by exploitation 
 You seem to  have a very limited view of what is possible.

Louis Ayoub: It wasn’t meant to be taken as a
literal solution. My point is that CEOs
(not the ones you think inherited the post)
have more responsibility, knowledge, skills,
education, and such then janitors.
Tell me how capping a CEOs income and
redistributing it would work? If there
is a minimum wage is there a maximum
wage too?

William Hodge: Actually a minimum wage
has no connection to a maximum wage.
If you provide for the distribution of life
essentials for all members of the community,
the maximum wage is determined competition
for the surplus production. How it is 
distributed will be determined by the  market demand for available skills responsible for
producing the goods and Services.

The wages of Entertainers,Sports Heroes,
Creators of innovative and productive
ideas are often determined by the demands
of their fans andconsumersThey are usually
in the position of being a Personal Monopoly
and can get what the traffic will bear.
Others must get paid according to demand for
skills and service. The common denominator
is that all must pay taxes on income to the
level necessary to provide Social Parity for all.
The rest is reward for success.

Louis:  William, lets get real. I don’t
believe in either a minimum or a maximum.
William, you can not cap one end of a
cylinder and expect to contain anything from
escaping out the other end. If you have a
minimum wage and expect it to have a useful
effect you have to dictate a maximum wage
as well. I’d love to see the Hollywood crowed
embrace that one!!!!! LMAO

Lets say I have a food canning plant. I am the
CEO and I make $10M a year. I pay my minimum
wage earners the going rate. William, what do
you suppose happens when the government says
its time to increase the minimum wage so that 
minimum wage earners can afford the very food
they are canning?  Yes, the price goes up so I can
make my $10M and then we are right back where
we started. The low wage folks are not ahead one bit….

I’ll ask you once again Willie, “what say you
is the maximum wage in America?”

Louis: One more for you Willie. What value
do celebrities bring to the community? Don’t
you think they are over paid for their true
communal value. They actually benefit the rich
as they just help sell more over-priced products
so the fat cats can get fatter.

William Hodge: Louis, Your logic is faulty.
You cannot use physics to argue a sociological
problem. You are not talking about a 
compression of gasses in a cylinder.  At best
 you may be talking 

about DIVIDING of the Pie.

The individual wage is a predetermined cost. Other cost of  production will be added to the expense.  The efficiency of
 your management skill
 will determine the profit and that will determine your wage. How much you earn will be more a result of you skill than your desire.

Your obsession with the earning power        
 of celebrates is irrelevant. Their market value [income] is set by public demand for their skill.
Their income is taxed as is yours.

Copyright © William Hodge 2010