• undergroundoverground@lemmy.world
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    4 months ago

    Too low wage and the government will top up those being underpaid by their employer, effectively passing on part of the burden of pay to the tax payer.

    If wages rise too high, the government will always step in to make sure it doesn’t continue.

    Its highly externally regulated and ultra manipulated by the people who buy labour and own for their money. Sadly, some people still beleive in the “invisible hand” blessed be its name story.

    • BlackLaZoR@kbin.run
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      4 months ago

      If wages rise too high, the government will always step in to make sure it doesn’t continue

      What do you mean by that? If you mean progressive taxation then I agree - IMO this is an inevitable result of democracy - in particular one citizen one vote rule.

      Progressive taxation of middle class and spending that money on benefits for poor is a way of buying votes. If you can buy multiple votes of poor people at expense of one middle class vote, it’s a winning strategy.

      • Gsus4@mander.xyz
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        4 months ago

        Progressive taxation is fair: someone who makes 0 from the way society is structured pays 0, because the system is clearly not working for them. Someone who makes the average wage contributes accordingly, but they are not a winner. People who are doing very well are paying a premium to society for creating the conditions for them to be doing so well.

        Too bad that when you go even higher the effective tax goes down again due to all sorts of accounting tricks and outright evasion.