Paying people more is not the answer. We have to make it so that people don't need to be monetarily wealthy to survive if we can even call it that. We should be able to live a modest yet comfortable life on a low wage.
Paying people more will not improve quality of life or incentivize a higher birth rate because cost is dependency and dependency is slavery—slavery to capitalism—slavery to your employer.
If the cost of living lowers, low wages become viable wages and job variety grows. Consider the humanities being low earning majors/degrees, in a low cost of living society that would enable them to still be viable. Consider the tech booms negative externalities in the California bay area regarding the effect on housing prices. Under capitalism the highest bidder gets the house and the technology industry replaces those who lived there before.
Under capitalism, scarcity is rewarded. You want to be the only business that sells your niche and you as a worker want to be the only worker that knows or is capable of doing your niche hence why a highly educated society under capitalism devalues the degrees from a monetary standpoint. If everyone has a college degree then you do not stand out to employers for having one.
Capitalism creates and rewards scarcity and causes inflation.
If we want to live in a less kleptocratic capitalist society we have to stop advocating for universal basic income or higher minimum wages and instead we have to tackle the real problem which is the problem of needing so much money just to survive on the basic necessities of life.
If inflation is inevitable in a big sized economy then I don't want a big/large economy, I want a small one.
I want a small economy with a strong social safety net and a community that helps each other, and I am inspired by the way pre colonial native American tribes operated.
We should be striving for a moneyless post capitalist society and we are doing the opposite of that when we allow inflation to keep climbing and further facilitate it by increasing wages and choosing high paying jobs even when we don't really have a passion for working those jobs but all the money is concentrated in a very narrow set of STEM fields and the wide spectrum of niche careers out there the jobs for them are either scarce or low wage if they exist at all.
The truth is that under the law of ecomomics which is fundamentally based on scarcity, a lot of unmet demand exists. For example I would rather hire a dishwasher but I wash dishes myself because I can't afford to pay someone else to do it. That's an extreme example since nobody should be a sloth, do your own dishes but I would like to hire a web developer to make me a website so I can post my work on passion projects (passion projects are things I do without expecting or accepting monetization/pay for them) for example essays on politics, sociology, philosophy, theology or a constructed language I am making etc. I do a lot of passion projects and at most they may serve as part of my portfolio but I never plan to monetize them because I am not a capitalist and not everything I do is for money or else I wouldn't call them passion projects, I would call them commercial or business projects.
It's a crazy concept in a capitalist society to do passion projects which are like charity except that nobody is asking you to do something, you just do it and assume it will be valued by someone else eventually and perhaps that notion is the thin border that distinguishes a passion project from a hobby and charity.
So in summary, down the cost of living and the wages should probably go with it but at a slower pace.
We should lower the cost of living instead of paying people higher wages
byu/Christopretensism ineconomy
Posted by Christopretensism
2 Comments
The problem with what you advocate is that nearly everything is a commodity good that is traded worldwide. All that wage and price controls will gain you are shortages. If you based the federal minimum wage on productivity, it would be close to triple what it currently is, and it has been frozen at $7.25 since 2009.
Ok, how do you plan to do that?