I presume that OB assumes that the magic hand of the free market sets wages, and this shouldn't be tampered with. If someone makes 100 million a year, its because they are worth that. If someone makes $7/hour, that's all they are worth.
But the "free market" is a mythological creature. There is only power. A poor person has to eat. They either get welfare, or they get a job. The right-wing hates welfare, so its work for starvation wages, or else actually starve.
A minimum wage establishes some balance of power between the rich and powerful, and the poor.
Sure, there are consequences to any action. A minimum wage might mean that an employer decides to buy an automatic burger-flipper instead of hire some kid. That isn't a bad thing necessarily. Phasing out low-productivity jobs leads to a higher net productivity for the workforce. Its only bad if those are the only jobs possible in an economy.
Employers will adjust to the new normal. If it is mandated everywhere, no employer is disadvantaged. Inflation will barely take an uptick, as the wages of the poor aren't what drives inflation.
But the "free market" is a mythological creature. There is only power. A poor person has to eat. They either get welfare, or they get a job. The right-wing hates welfare, so its work for starvation wages, or else actually starve.
A minimum wage establishes some balance of power between the rich and powerful, and the poor.
Sure, there are consequences to any action. A minimum wage might mean that an employer decides to buy an automatic burger-flipper instead of hire some kid. That isn't a bad thing necessarily. Phasing out low-productivity jobs leads to a higher net productivity for the workforce. Its only bad if those are the only jobs possible in an economy.
Employers will adjust to the new normal. If it is mandated everywhere, no employer is disadvantaged. Inflation will barely take an uptick, as the wages of the poor aren't what drives inflation.
