Well we can split hairs all we want and attack the analogy, or we can recognize that those who are successful in business maximize their profits. And in so doing that, the business owner often can pay more in wages while charging less for his services or product. The most competent will find that exact right balance between supply and demand that allows for maximum profits. Those who do that well will almost always pay their best people well and benefit society by providing goods and services at affordable and attractive prices. And that does not increase inflation.
The trainee is not worth nearly as much in wages as the experienced dedicated employee. In fact the trainee often is dead weight on a business until he learns how to do his job well enough to earn a profit for his employer. But the guy who does only enough work to earn $1,000 in profits for his employer is not going to be worth as much as the guy who generates $5,000 for his employer. Which do you think will be paid better? And how is that not fair?
When government presumes to determine what is and is not a fair wage, however, it short circuits the whole free market system. And generally, many more people find themselves with less opportunity to advance and earn more; we aren't able to buy goods and services at lower prices, and there is inflation that reduces the buying power of us all.
Good points. However in the real world there are also monopolies. Monopolies on labor, monopolies on investments, monopolies on sales, monopolies on laws...
Government is supposed to break up these monopolies but typically the monopolies buy the politicians.. thus corruption effects the pure symbiotic relationship between risk, good work, and reward.
For example, Corporate executives monopolizing the price for corporate executives to the tune of deciding to pay themselves to become mega millionaires for very little labor.
Government employees giving themselves raises every year even in a recession and even though many of these employees provide no product, but rather are merely there to collect a salary.
As another example, selected particular corporations that own entire markets and are not broken up by the government based on preferred treatment.
You see we don't live in a free market system. Not any more. Why? Because the government, in general, has decided to cash in on our market rather than sustain it.