Has McDonald’s Declared War on the Middle Class?
No objective principle informs that perspective. If the purpose of business was to provide unproductive jobs at a loss, who would go into business? There exists no duty for a business to provide jobs.
Arguments to the contrary universally ignore the objective concept of value. As McDonald’s employees across the country have engaged in protests seeking a $15 starting wage, up from the current $8, left-wing pundits have taken the opportunity to promote their false economic narrative. Time’s Eric Liu contributes:
A $15 minimum wage is the key element of “middle-out economics” (a concept I’ve helped shape, along with my co-author Nick Hanauer). Middle-out economics, as opposed to trickle-down, says that the best job creator is a healthy middle class with the purchasing power to generate and sustain demand. It says – as Henry Ford figured out a long time ago – that workers aren’t costs to be cut; they are customers to be cultivated. Investing in that middle class makes more sense than expanding tax breaks for the wealthy.
An impressive amount of fallacy appears in that short statement. The language so thoroughly obfuscates the truth that any response must start from scratch.
A bottle of Coke is a bottle of Coke whether you pay $1 for it or $3. Likewise, an hour of labor is an hour of labor whether compensated at $8 or $15. Value cannot be created by inflating price. Paying someone more does not make them more productive. Paying more for something than the value it represents does not make it more valuable. On the contrary, it thwarts wealth creation in favor of redistribution.