Tuesday, June 28, 2011

Bachmann & Cain Are Right About the Minimum Wage

Various outlets on the left are making a big deal about Michele Bachmann and Herman Cain wanting to repeal the federal minimum wage. Greg Sargent of the Washington Post argues that it's such a radical position for a presidential candidate that only Ronald Reagan supported it, while later backing away from that position. It shows you how entrenched big government has become in the U.S. that even the suggestion that we roll back unwarranted and unnecessary federal interference with the free market is now a radical position.

Even if you support minimum wage laws you don't need the federal government involved. Since minimum wage laws are popular, most states already have their own laws. And if states don't wish to have a minimum wage, there's no reason for federal interference. Bachmann and Cain are right to support repealing the federal minimum wage.

2 comments:

  1. Your argument would make sense were it not for the fact that we have interstate commerce. If one state chose to not have minimum wages, industries would flock. Don't we already exploit enough cheap labor around the world? Shouldn't we be moving the other direction?

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  2. " If one state chose to not have minimum wages, industries would flock."

    Probably.

    "Don't we already exploit enough cheap labor around the world?"

    No.It's not up to us what the going rate for labor is in varying places in the world. There's no reason why businesses shouldn't take advantage of low labor rates.

    "Shouldn't we be moving the other direction?"

    I don't see how setting an arbitrary price floor that private industry has to pay for labor is a legitimate function of the federal government in a supposedly free market.

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