The N&O this week ran an editorial from a business owner from Idaho that reinforces the point that just because you run a successful business doesn’t mean you understand economics.
(As an aside, is the N&O really so desperate to advance its ignorant an destructive minimum wage narrative that they need to scour the newspapers of Idaho to do so?)
The article starts out with some assertions: “Valued and well-compensated employees are more productive, less likely to quit, and an asset to the surrounding community.”
If true, then why would there need to be a law forcing businesses to pay higher wages? Wouldn’t the successful entrepreneurs figure this out and offer higher wages in order to succeed in a competitive economy?
The businessman continues by citing the high popularity of increasing the minimum wage among business owners:
“tens of thousands of small businesses have already come out in favor of a higher minimum wage” … “a recent Chamber of Commerce poll showed that eight out of 10 business leaders support raising the minimum wage.”
Again, if these business leaders support higher wages, why the need for a law?
The article’s author also notes:
“at the current federal minimum wage of $7.25 an hour, millions of Americans not only struggle to survive, but they are essentially locked out of participating in our economy. Forty-one million workers in the U.S. — nearly one-third of the American workforce — make less than $15 an hour.”
But wouldn’t a law criminalizing the employment of people at a wage under $15/hour lock those 41 million people out of the economy?
Because he can afford to pay his employees a higher wage, this would-be tyrant wants to forcibly impose his preferences on all businesses. In reality, the minimum wage prices low-skilled labor out of the workforce, criminalizes voluntary work agreements, and is rooted in racism.
This businessman should stick to what he does best, and mind his own business.