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Source link: http://archive.mises.org/5379/theres-no-problem-you-cant-solve-by-killing-the-economy/

There’s no problem you can’t solve by killing the economy

July 26, 2006 by

I remember when I was at Walter Block’s excellent Radical Austrianism, Radical Libertarianism seminar last summer, someone asked him if being an Austrian led people to become libertarians. Specifically, they were wondering how someone could not adopt libertarian views on something like the minimum wage once they understood the actual economic effects of it. Dr. Block’s reply was to the effect that he supposed you could be a rather unpleasant person, and support the minimum wage because you thought it was good for certain groups of people to be unemployed. Well, it turns out that Walter Block is prescient.
An op-ed in the New York Times has the answer to ending illegal immigration. How? Raise the minimum wage nationwide to $8 an hour! As the logic runs, the economic distortion that would result is a good thing. Americans formerly unwilling to work for the $5.15/hr minimum wage will rush to fill these jobs, squeezing the illegal immigrants out of the labor market and making them turn around and go home. This will be accompanied by efficient government enforcement of wage laws, which of course will make it impossible for a black market in sub-minimum wage illegal labor to flourish (really). Every time I read a new proposal from a politician for what the government should do to handle immigration, I think we’ve hit bottom. But then I’m afraid we haven’t.

{ 2 comments }

Paul Edwards July 26, 2006 at 1:06 pm

Lisa,

This person doesn’t sound to have a firm grip on Austrian economics at all. His thinking is pretty funny in a way: Firstly, is he suggesting that people willing to work illegally, and employ illegally, will be moved to adhere to a legally imposed increased minimum wage law? Isn’t that a little funny? Secondly, will a $5.15/hr job even be available anymore to those who care about such laws in the first place? “Law abiding” Americans may begin to rush to fill these jobs, but (LOL) these (law abiding) jobs will no longer be available.

Darn these guys can be funny when they express their thoughts on economics. It does turn out that there is no limit to the stupidity of MSM blathering economic idiots.

David C July 26, 2006 at 2:52 pm

You know, there is market by my home and a freeway onramp by it too. One morning, I got up earlier than usual and went to the market to run some errands – and in the parking lot were a bunch of people who appeared to be Mexicans, with reasonable appearance, and waiting to be picked up to do manual labor. Then I went down the road to get on the freeway and interenstingly enough, standing near the onramp intersection, there were a bunch of people who appeared to be sloppy dressed Americans on welfare, begging for a handout. Now, if that didn’t tell me all I ever needed to know about the immigration and welfare economics.

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