Monday, July 13, 2009

First new blog in months!

I'm not a blogger, judging by the sporadic-ness and all-over-the-place-ness of this blog, any of the 2 people that might actually read this can tell, instantly.

However, I came across something that I found quite interesting and felt the need to post about it, below is the link, and included are some of the highlights. Here, Peter Schiff argues against minimum wage standards and makes some interesting points. Enjoy:

Minimum Wage, Maximum Stupidity

by Peter Schiff

"There are numerous other examples of employers substituting capital for labor simply because the minimum wage has made low-skilled workers uncompetitive. For example, handcarts have replaced skycaps at airports. The main reason fast-food restaurants use paper plates and plastic utensils is to avoid having to hire dishwashers. As a result, many low-skilled jobs that used to be the first rung on the employment ladder have been priced out of the market...

The disappearance of these jobs has broader economic and societal consequences. First jobs are a means to improve skills so that low-skilled workers can offer greater productivity to current or future employers. As their skills grow, so does their ability to earn higher wages. However, remove the bottom rung from the employment ladder and many never have a chance to climb it.

Supporters of the minimum wage argue that it is impossible to support a family on the minimum wage. While that is true, it is completely irrelevant, as minimum wage jobs are not designed to support families. In fact, many people earning the minimum wage are themselves supported by their parents.

The way it is supposed to work is that people do not choose to start families until they can earn enough to support them. Lower-wage jobs enable workers to eventually acquire the skills necessary to earn wages high enough to support a family. Does anyone really think a kid with a paper route should earn a wage high enough to support a family?"