At the same time, a $12.01 minimum wage in retail would put enormous pressure on those in other lower-paying industries to pay more, forcing them to raise their prices and suffer the consequences of reduced consumer demand for their goods and services.
There is virtually no doubt that if Demos and Ruetschlin were ever to get what they want, the overall economy and total employment would shrink, not grow.
What Demos, Ruetschlin, and their grim band of fellow radicals refuse to recognize is that employment is not some kind of entitlement.
It is instead a mutual business agreement between a worker and his or her employer that the use of their services at a given price is a win-win for both parties. If you make the cost of the agreement too dear for either party, you won’t have an agreement. If you are able to force such agreements on the unwilling anyway, you will end up with fewer of them. In the current case, the result will be fewer jobs.
What I really fear is that leftist efforts such as these are the opening shots in what will become an all-out war on employment practices at companies throughout the land. Using dreck such as that produced by Demos as support, “greedy capitalists” will be blamed for the continued and virtually inevitable failure of the economic policies of the Obama administration. And if these companies won’t do what they “should”? Why, the government will just have to take them over and run them “correctly.”
We’ve seen it happen time and again in other countries. I wish I could be confident that it can’t and won’t happen here.