Originally Posted by Bacchus
need to raise the minimum wage
Fixing the labor market at higher costs does two things. It makes the selling cost of products and services go up, and it creates more nominal income for consumers. Naturally, the free market side will try to re-balance with higher prices and a higher cost of living. The only way to stop this is with price controls. Might as well fix the entire market instead of keeping one side free. Then the confused people couldn't blame the negative outcomes on a free market that doesn't exist.