First off, it is a myth that government creates jobs. What government does is redistribute jobs. It costs money for government to hire people, therefore it taxes. For example i want to hire a desk clerk for the EPA. In order to pay this person (40grand) it must raise taxes. In raising taxes in order to fund this person (40 grand), it took 40,000 away from the private sector, thus redistributing a possible job from the private sector to the public sector
The primary job of the government is to assure that the market forces are allowed to operate. In order to do so, government must set up institutions which requires people to operate. The primary focus of these institutions is to insure that rules are enforced. Anarchy does not allow market forces to operate. I can go into this further if someone challenges me. A book that i highly recommend everyone to read is "Why capitalism succeeds in the west but fails everywhere else". It will give you good insight about the role government should play.
Second, it is a myth that higher minimum wage helps the poor. What minimum wage does is increase unemployment especially the unskilled. Reason, it decreases the demand of the unskilled (supply and demand, when prices go up, demand goes down). Wages are determined by the market not by government. The more value you add to the market, the higher wage you receive. If we really want to help these people, we must encourage them to better themselves (i.e. education)
If any of you have been to college or ever taken an economics course, I’m sure Milton Friedman has popped up, which reflects my ideas about socialism vs. capitalism. Capitalism by far is the most efficient way of creating wealth (many posts have explained why). That is an undeniable fact. Socialism in the other hand does a very poor job at creating wealth, but does an excellent job redesibuting it, just take a look many EU nations
France, a highly socialist nation (many nationalized companies) grows about an average of .9 percent a year. France recently has dealt with double digit unemployment which peeked at 13 percent. Absolutely unacceptable by US standards. Recently, it has gone down from double digit unemployment. Reading publications, (i.e. the economist) the current unemployment rate is about 8 percent, viewed by many in france as a "success".
The united states in the other hand views 5.6 percent unemployment rate as a "catastrophe". We call 2 to 3 percent growth, "anemic" while socialist governments can barely break the 1.4% mark.
Market forces can provide about 95% of the services out there. The main government’s role should be 1) protection 2) providing a safety net, nationalizing (aka monopolizing) healthcare and education does neither.
Comments
First off, it is a myth that government creates jobs. What government does is redistribute jobs. It costs money for government to hire people, therefore it taxes. For example i want to hire a desk clerk for the EPA. In order to pay this person (40grand) it must raise taxes. In raising taxes in order to fund this person (40 grand), it took 40,000 away from the private sector, thus redistributing a possible job from the private sector to the public sector
The primary job of the government is to assure that the market forces are allowed to operate. In order to do so, government must set up institutions which requires people to operate. The primary focus of these institutions is to insure that rules are enforced. Anarchy does not allow market forces to operate. I can go into this further if someone challenges me. A book that i highly recommend everyone to read is "Why capitalism succeeds in the west but fails everywhere else". It will give you good insight about the role government should play.
Second, it is a myth that higher minimum wage helps the poor. What minimum wage does is increase unemployment especially the unskilled. Reason, it decreases the demand of the unskilled (supply and demand, when prices go up, demand goes down). Wages are determined by the market not by government. The more value you add to the market, the higher wage you receive. If we really want to help these people, we must encourage them to better themselves (i.e. education)
If any of you have been to college or ever taken an economics course, I’m sure Milton Friedman has popped up, which reflects my ideas about socialism vs. capitalism. Capitalism by far is the most efficient way of creating wealth (many posts have explained why). That is an undeniable fact. Socialism in the other hand does a very poor job at creating wealth, but does an excellent job redesibuting it, just take a look many EU nations
France, a highly socialist nation (many nationalized companies) grows about an average of .9 percent a year. France recently has dealt with double digit unemployment which peeked at 13 percent. Absolutely unacceptable by US standards. Recently, it has gone down from double digit unemployment. Reading publications, (i.e. the economist) the current unemployment rate is about 8 percent, viewed by many in france as a "success".
The united states in the other hand views 5.6 percent unemployment rate as a "catastrophe". We call 2 to 3 percent growth, "anemic" while socialist governments can barely break the 1.4% mark.
Market forces can provide about 95% of the services out there. The main government’s role should be 1) protection 2) providing a safety net, nationalizing (aka monopolizing) healthcare and education does neither.