Patriots: For over 26 years, your generosity has made it possible to offer The Patriot Post without a subscription fee to military personnel, students, and those with limited means. Please support the 2024 Year-End Campaign today.

September 11, 2014

Mob Rule Economics

While we talk about democracy and equal rights, we seem increasingly to let both private and government decisions be determined by mob rule. There is nothing democratic about mob rule. It means that some people’s votes are to be overruled by other people’s disruptions, harassments and threats. The latest examples are the mobs in the streets in cities across the country, demanding that employers pay a minimum wage of $15 an hour, or else that the government makes them do so by law. Some of the more gullible observers think the issue is whether what some people are making now is “a living wage.” This misconstrues the whole point of hiring someone to do work. Those who are being hired are paid for the value of the work they do.

While we talk about democracy and equal rights, we seem increasingly to let both private and government decisions be determined by mob rule. There is nothing democratic about mob rule. It means that some people’s votes are to be overruled by other people’s disruptions, harassments and threats.

The latest examples are the mobs in the streets in cities across the country, demanding that employers pay a minimum wage of $15 an hour, or else that the government makes them do so by law. Some of the more gullible observers think the issue is whether what some people are making now is “a living wage.” This misconstrues the whole point of hiring someone to do work. Those who are being hired are paid for the value of the work they do.

If their work is really worth more than what their employer is paying them, all they have to do is quit and go work for some other employer, who will pay them what their work is really worth. If they can’t find any other employer who will pay them more, then what makes them think their work is worth more?

As for a “living wage,” the employer is not hiring people in order to acquire dependents and become their meal ticket. He is hiring them for what they produce.

Are some people not able to produce much? Absolutely! I know because I was once one of those people.

After leaving home as a teenager, I discovered that what I could earn would only enable me to rent a furnished room about 6 by 9 feet. Instead of a closet, it had a nail on the back of the door – which was completely adequate for my wardrobe at the time.

It became painfully clear that there was no great demand for a high school dropout with no skills and no experience.

My choices were to get angry at my employer or to acquire some skills and experience – and try to pick up some more education, while I was at it. Even to a teenage dropout, that choice was a no-brainer.

There was no one around to confuse the issue by telling me that I was somehow “entitled” to what other people had produced, whether at the expense of the taxpayers or the employer.

There was a minimum wage law, even back in those days. But it had been passed ten years earlier, and inflation had raised both prices and wages to the point where it was the same as if there were no minimum wage law.

Thank heaven! The unemployment rate among black teenagers back then was a fraction of what it would become in later years, after “compassionate” politicians repeatedly raised the minimum wage rate to keep up with inflation.

In 1948, the year I left home, the unemployment rate among black 16-year-olds and 17-year-olds was 9.4 percent, slightly lower than that for white kids the same ages, which was 10.2 percent.

Over the decades since then, we have gotten used to unemployment rates among black teenagers being over 30 percent, 40 percent or in some years even 50 percent. Such is the price of political “compassion.”

Whatever the good intentions behind minimum wage laws, what matters are the actual consequences. Many people have ideological, financial or political incentives to obfuscate the consequences.

Labor unions are the biggest force behind attempts to raise the minimum wage, not only in the United States but in other countries around the world. That may seem strange, since most union members already earn more than the minimum wage. But the unions know what they are doing, even if too many gullible observers do not.

Low-skill workers with correspondingly low wages compete in the labor market with higher skilled union members with correspondingly higher wages. Many kinds of work can be done by various mixtures of low-skilled workers and high-skilled workers.

Minimum wage rates that are higher than what most low-skilled and inexperienced workers are worth simply price those workers out of the job markets, leaving more work for union members. All the unions have to do is camouflage what is happening by using rhetoric about “a living wage,” or “social justice” or whatever else will impress the gullible.

Life was tough when all I could get were low-paying jobs. But it would have been a lot tougher if I couldn’t get any job at all. And a tough life made me go get some skills and knowledge.

COPYRIGHT 2014 CREATORS.COM

Who We Are

The Patriot Post is a highly acclaimed weekday digest of news analysis, policy and opinion written from the heartland — as opposed to the MSM’s ubiquitous Beltway echo chambers — for grassroots leaders nationwide. More

What We Offer

On the Web

We provide solid conservative perspective on the most important issues, including analysis, opinion columns, headline summaries, memes, cartoons and much more.

Via Email

Choose our full-length Digest or our quick-reading Snapshot for a summary of important news. We also offer Cartoons & Memes on Monday and Alexander’s column on Wednesday.

Our Mission

The Patriot Post is steadfast in our mission to extend the endowment of Liberty to the next generation by advocating for individual rights and responsibilities, supporting the restoration of constitutional limits on government and the judiciary, and promoting free enterprise, national defense and traditional American values. We are a rock-solid conservative touchstone for the expanding ranks of grassroots Americans Patriots from all walks of life. Our mission and operation budgets are not financed by any political or special interest groups, and to protect our editorial integrity, we accept no advertising. We are sustained solely by you. Please support The Patriot Fund today!


The Patriot Post and Patriot Foundation Trust, in keeping with our Military Mission of Service to our uniformed service members and veterans, are proud to support and promote the National Medal of Honor Heritage Center, the Congressional Medal of Honor Society, both the Honoring the Sacrifice and Warrior Freedom Service Dogs aiding wounded veterans, the Tunnel to Towers Foundation, the National Veterans Entrepreneurship Program, the Folds of Honor outreach, and Officer Christian Fellowship, the Air University Foundation, and Naval War College Foundation, and the Naval Aviation Museum Foundation. "Greater love has no one than this, to lay down one's life for his friends." (John 15:13)

★ PUBLIUS ★

“Our cause is noble; it is the cause of mankind!” —George Washington

Please join us in prayer for our nation — that righteous leaders would rise and prevail and we would be united as Americans. Pray also for the protection of our Military Patriots, Veterans, First Responders, and their families. Please lift up your Patriot team and our mission to support and defend our Republic's Founding Principle of Liberty, that the fires of freedom would be ignited in the hearts and minds of our countrymen.

The Patriot Post is protected speech, as enumerated in the First Amendment and enforced by the Second Amendment of the Constitution of the United States of America, in accordance with the endowed and unalienable Rights of All Mankind.

Copyright © 2024 The Patriot Post. All Rights Reserved.

The Patriot Post does not support Internet Explorer. We recommend installing the latest version of Microsoft Edge, Mozilla Firefox, or Google Chrome.