Political News and Commentary with the Right Perspective. NAVIGATION
  • Front Page
  • News
  • Multimedia
  • Tags
  • RSS Feed

  • Advertise on RightMichigan.com


    Get the RightMighigan.com toolbar!



    Who are the NERD fund donors Mr Snyder?

    Raise the curtain.

    Michigan Business Done Right - Solutions

    By JGillman, Section News
    Posted on Wed Oct 21, 2009 at 12:04:11 PM EST
    Tags: unemployment, minimum wage, free markets, individualism, homelessness (all tags)

    Complaints are a good way to point out the flaws that are a part of any process, be it in government or business.  But complaining can only go so far, and to solve the symptoms which drive those complaints, the nature of the problem must be identified and then reworked.  In a business, it could be as simple as realizing there is a problem with shoppers waiting in line for 30 minutes to pay for their goods. The solution, by opening an additional checkout lane to resolve a regularly occurring issue such as this would be quite obvious.

    Unfortunately, the laws of physics, or at the very least common sense don't always necessarily apply to our elected representation, Where up becomes down, and logic (our hero) meets a tragic fate.

    The sleight of hand in politics becomes evident when Michigan's governor Jennifer Granholm can suggest that increasing the financial burden on business can actually help those businesses.  People actually believed it, and in March of 2006  Gov. Granholm signed legislation raising the minimum wage in Michigan. In October 2006 it went to $6.95 an hour from $5.15 an hour, then to $7.15 an hour in July 2007 and to $7.40 an hour in July 2008.

    We've seen how THAT worked.  In fact it worked so well that The Democrats in Michigan want to expand on it...

    This is not rocket science folks.  While the fabricators of today's truths deny reality, instead shifting the blame around to the last Republican administration, we have already before us, a solution that is available any time we are ready to implement it.  It is a way to have FULL employment inside of two years.  It can be done, but requires a departure from the current inbred assumptions of government's role in your life.

    I have written before on the problems associated with minimum wage.  I have even gone as far as to suggest it be "One Dollar an Hour."  My argument that if you are hungry, and a dollar will feed you, you will work for it drives home the point that the decision to survive is ultimately in YOUR hands.  The responsibility we have to ourselves overrides any "feel good" mandate by a busy body government.

    "Personal responsibility."  That combination of words really means something, no matter the mechanisms designed to separate you from it by a insulative government. When we look for work, we seek a way to provide for our sustenance, our shelter, our means of existence.  We are "personally responsible" for our survival.  Our "business" is the very effort we engage in to meet our responsibilities and requirements for that survival.  So we are all engaging in a business.. a very personal one.

    However, the narrow definition of what is called a business for government's purpose, allows that collective influence to leverage a "balance" between individuals and the entity which might provide opportunities for those individuals.   The "benevolent" government assumes that the natural survival instincts, the very ability to reason, plan, or provide for ourselves is flawed.  Would-be saviors of our persons, rip from us the very tools that make us unique, and resourceful, and replace them with the burden of debt and misguided intent of a few "leaders" who might catch us, albeit with the hands of others when we fall.

    Today's entrepreneur knows this.   Employees might see a minimum wage mandate as protecting them against unfair business practices, but the business owner is not protected in the same manner, and can lose it all if markets turn because of external forces.  Those external forces might be natural events, or even interference by government itself.  Government then levies a "maximum wage" which finds severe penalties for those who attempt to go over it through a graduated tax system that is particularly punishing for a business owner who sees a regularly surging business cycle.

    Small business and small entrepreneurial operations account for 80% of all jobs in this country.  There is a way to SOLVE unemployment, and make new opportunities quite literally appear over night:

    1.ELIMINATE minimum wage today.
    2.ELIMINATE any and all labor enforcement organizations in government.
    3.ELIMINATE unemployment collection and distribution

    Minimum wage elimination being a major part of the cure, would result in instant employment gains. Employers who might never have considered bringing more help on board could do so with minimal costs.  On its face, instant numbers of new opportunities would open up overnight. New expansion projects and new industry would be a real possibility for business that has as its core cost larger numbers of personnel.  The smallest responsibilities might then find affordable hands to manage them.

    Elimination of agencies that strangle business would give gain of  flexibility to employers to  reward truly productive employees with higher wages, and allow those who either do not feel the need, or cannot be as productive, to possibly still have employment and perhaps provide for themselves in a diminished reward environment..  rather than not be employed at all.  Labor unions would be necessarily disbanded, or tossed by employers who will again have control over THEIR businesses, or at the very least reformed into useful agencies or quality worker's guilds.

    Removing unemployment premiums and benefits allows employers to keep more on hand to offer the workers who deserve more.  For some industries this can be a significant percentage of the employee cost.  Further, it encourages employees to prepare for those times between jobs through savings and thrift.  

    The above is a small demonstration of the most immediate effects, but the effect of such "progressive" policy has its other benefits as well.  The elimination on a wholesale basis of entire bureaucracies would result in the need for less revenue into government coffers.  Taxes could be used to settle debt.  Debt reduction would cause the dollar to be stronger.  A stronger dollar would result in more value from the earned wage.  It would likely save the dollar (which is beginning its free fall right now) as well.

    The wealth of Michigan, and of the nation would be increased as a result of complete and full employment which would allow the absorption of unneeded current government employees back into productive roles in the private sector. The ability of industry to compete with added flexibility would spark a new revolution of global competitiveness.

    Families would regain strength with new opportunities for the teens to work, and save, and learn work skills that could drive new entrepreneurial endeavors in the future.  Crime in all communities would be reduced.  Drinking and drug use might be lessened as idle hands become a thing of the past.  There would be fewer excuses for the inability to locate gainful employment as there will ALWAYS be someone willing to pay a slight amount for the least productive tasks that need doing.

    The homelessness we see would soon become entirely VOLUNTARY.  Current law prevents any employer to provide a "company shelter" and coinciding lower than minimum pay to assist those in transition from being homeless to becoming self sufficient.  Personal pride, dignity, self respect would be making great gains as a result.

    Skilled positions, and apprenticeships would be grow and institutional craft memories would be increased as well. As the initial cost of training help lessens, the propensity to do so increases.  More apprentice opportunities would be the natural result.  The ongoing skills cross training might well spark new innovative solutions as well.  Cross training of skills would be more common.

    Wages may, or may not decrease on the whole initially, but the allowance for the instant reduction as needed for the survival of some business entities would maintain a strong demand for workers.  Demand, which true to the most elementary economic principles allows for the negotiation of better wages for those individuals which are deserving, and allowance for the lessened compensation for those who are not, but might still benefit because of full employment.  

    This can be somewhat of a mental exercise for some.  Particularly if you were brought up in a household that has a limiting labor mindset.  The idea that a person could operate on a few dollars an hour or less might seem an abhorrent thought to those at first, but the effects of such policy on the economy as a whole, would rapidly correct it to a natural state that becomes less affected by improper government roles.  

    Flexibility for business as a bottom line creates opportunities.  Opportunity creates demand.  Demand in turn, heightens the reward for those who answer its call.

    < Battling the Internet Czars | Cox has highest lead in general election poll (45% Cox, 30% Cherry) >

    Share This: Digg! StumbleUpon del.icio.us reddit reddit

    Display: Sort:
    See, there ya go makin' sense again! (none / 0) (#1)
    by maidintheus on Wed Oct 21, 2009 at 02:21:26 PM EST
    You didn't get the memo: It's fishy to make sense, make things better, or make a profit.

    I think it's making a dent though. Why else would they be so angry at anyone who disagrees?

    Keep the faith!

    Minimum Wage (none / 0) (#2)
    by grannynanny on Wed Oct 21, 2009 at 04:51:48 PM EST
    This farce was the biggest mistake Michigan and the US Govt. made.  Just look at the State of Michigan and how many seasonal businesses they have.  Most of those business rely on teenagers for summer employment.  The businesses were forced to pay summer help the higher minimum wage and the associated taxes associated with those higher wages. I worked for marina operators in northern michigan and I swear to God we had to retrain the little urchins after every break they took.  They are not worth $7.40/hr. Ask some of those seasonal employers how that minimum wage worked out for them and they will give you an earful!

    I like the part (none / 0) (#3)
    by LookingforReagan on Wed Oct 21, 2009 at 06:50:09 PM EST
    About getting rid of Unions. Monuments to mediocrity, uncrossable canyons in the way of progress. Funny how those on the left call themselves Progressives. How so? Everything I hear them say, believe, advocate or do is designed to either go backwards at a very rapid pace or to force things to become completely stagnant. Nothing Progressive about these people. Marxism, Socialism, Communism whatever you choose to call it has always failed miserably and given those it promised to help only one thing in common. The prevalence of crushing, heartwrenching dispare. That is what Obama will bring for that is the only result of Socialism. Have we not had enough of the promises of these crazed Revolutionaries? I for one think I have had my fill. Let each man live by his own labor and not by that of his neigbhor.

    Basic economics (none / 0) (#5)
    by Rougman on Thu Oct 22, 2009 at 01:03:48 AM EST
    The latest minimum wage increase was supported by both the Republicans and Democrats and neither party can wash its hands of that fiasco.

    It would create a much more affluent society if children in school actually learned about economics before they entered the real world.  I really doubt though that we will see many unionized high school teachers crowing about the need to disband unions.

    As Jack McHugh has pointed out here, if Michigan teachers were paid on average the same wages teachers are paid in the rest of our country we would not even have much of a state budget deficit.  

    Imagine the possibilities.

    Display: Sort:


    Make a new account

    Tweet along with RightMichigan by
    following us on Twitter HERE!
    create account | faq | search