Posted: Dec 27, 2016 10:58 pm
I think what you're talking about, here in the US we call, "Raising the minimum wage" (though the right would prefer we 'raze the minimum wage').
I'll leave it to the economic experts, but I can't see how such an endeavor would result in anything more than short term relief. You still have corporations striving to outdo the year-over-year earnings by an ever increasing percentage. 4% profit last year? We can do better... shoot for 4.3% We'll fire the CEO if she fails to reach that goal. So, raise wages, corporations will raise prices, sell assets or reduce expenditures. The executives and the shareholders WILL reap the returns even at the cost of the business being liquidated.
Like scot said, you have to make the shift away from greed, somehow. The only way I see that ever happening is if resources are unlimited and free, including energy, travel, food and goods. So, we're left with some kind of imposed ceilings on earnings for both corporate execs and shareholders (also for small businesses). I don't think there'd ever be a consensus on who decided those ceilings, let alone how they were determined.
I'll leave it to the economic experts, but I can't see how such an endeavor would result in anything more than short term relief. You still have corporations striving to outdo the year-over-year earnings by an ever increasing percentage. 4% profit last year? We can do better... shoot for 4.3% We'll fire the CEO if she fails to reach that goal. So, raise wages, corporations will raise prices, sell assets or reduce expenditures. The executives and the shareholders WILL reap the returns even at the cost of the business being liquidated.
Like scot said, you have to make the shift away from greed, somehow. The only way I see that ever happening is if resources are unlimited and free, including energy, travel, food and goods. So, we're left with some kind of imposed ceilings on earnings for both corporate execs and shareholders (also for small businesses). I don't think there'd ever be a consensus on who decided those ceilings, let alone how they were determined.