Let's say Our Beloved President issued a decree that degreed Electrical Engineers, right out of college, could be paid no less than $120 thousand per year. He believes that the future of our country will rest on the creative work of future electrical engineers.
I would propose that it would not take a genius to conclude that employers who hire EE's would react in at least three predictable ways:
(1) They would hire fewer EE's,
(2) They would seek to have work that was formerly done by EE's now done by technicians and people with other types of degrees,
(3) They would start to farm out EE work, possibly off-shore, and
(4) Employers would conspire with desirable EE graduates for them to modify their resume's in order to conceal the EE degree, so that they could be hired at a lesser rate.
Undeniable.
Let us say now that OBP decreed that potato chips must sell for no less than US$1.00 per ounce, believing that potato chips are a prime reason for childhood obesity.
I would propose that it would not take a genius to conclude that potato-chip-lovers would,
(1) Eat fewer potato chips,
(2) Look for (and find) other salty snacks to take the place of potato chips in their diet,
(3) Try to make potato chips at home, with the blinds pulled down, and furthermore,
that (4) many enterprising people would indeed start to make potato chips in their basements, and sell them out of the trunks of their cars.
But having seen these two examples of economics at work, both of which are not only believable but undeniable, why do so many people believe that if the Sovereign raises the price of, shall we say, "entry level, or totally unskilled work," to $15/hr, that employers will all-of-a-sudden happily start paying it? They apparently believe that employers would not (a) use less of that commodity That they will not (b) seek substitutes in the form of automation, overtime, or scaling back customer service? That they will not try to get around the new law by hiring illegals, and people to work, "under the table"?
The level of general economic stupidity is incredible.
I would propose that it would not take a genius to conclude that employers who hire EE's would react in at least three predictable ways:
(1) They would hire fewer EE's,
(2) They would seek to have work that was formerly done by EE's now done by technicians and people with other types of degrees,
(3) They would start to farm out EE work, possibly off-shore, and
(4) Employers would conspire with desirable EE graduates for them to modify their resume's in order to conceal the EE degree, so that they could be hired at a lesser rate.
Undeniable.
Let us say now that OBP decreed that potato chips must sell for no less than US$1.00 per ounce, believing that potato chips are a prime reason for childhood obesity.
I would propose that it would not take a genius to conclude that potato-chip-lovers would,
(1) Eat fewer potato chips,
(2) Look for (and find) other salty snacks to take the place of potato chips in their diet,
(3) Try to make potato chips at home, with the blinds pulled down, and furthermore,
that (4) many enterprising people would indeed start to make potato chips in their basements, and sell them out of the trunks of their cars.
But having seen these two examples of economics at work, both of which are not only believable but undeniable, why do so many people believe that if the Sovereign raises the price of, shall we say, "entry level, or totally unskilled work," to $15/hr, that employers will all-of-a-sudden happily start paying it? They apparently believe that employers would not (a) use less of that commodity That they will not (b) seek substitutes in the form of automation, overtime, or scaling back customer service? That they will not try to get around the new law by hiring illegals, and people to work, "under the table"?
The level of general economic stupidity is incredible.
