You have a minor point, Kurt, but compared to what?

The problem with the minimum wage, in my view, is that you have to have a job to get it.

I favor a social wage and, combined with it, the abolition of a mimimum wage, other things being equal, since a minimum wage also encourages an 'underground' economy and hinders small businesses trying to operate openly.

The version of the 'social wage' I advocate, say 18K a year, is not a 'guaranteed income' but goes to anyone over 18 who 'creates value' -- a mom raising kids, students learning in school, teaching classes in the parks, caring for the elderly, cleaning up after disasters, etc. All this is valuable to society, but due to imperfect markets (yes, they are all imperfect) often do not result in employment at any wage.

A social wage would also be structured so that it was always in one's interest to find regular employment. It would also have the added benefit of doing away with most welfare, save for the impaired and infirm, and encouraging family formation among low-income young people.

But other things aren't favorable, and the minimum wage and increases in it are better than doing nothing but having us wait around for a perfect market, which doesn't exist, to solve our problems.

For more on the topic, go to: www.cyrev.net then to Issue 5 in the archives