One cannot listen to the daily news without hearing about the current unemployment rate, inflation, wages, and the decline of the US dollar.
Some call for an increase in the minimum wage and demand ‘a living wage.’ The issue of ‘entitlements’ is always a source of debate and contention. One can also hear various opinions on what should be done to resolve the problem. There are always different methods used in efforts to reach the same objective. Yet, as with all things some methods make more sense and are more effective in reaching the intended objective.
- Create and sustain well-paying jobs
- Increase tax revenue
- Reduce poverty
- Provide necessary help to the needy
- Protect and maintain self-supporting citizens
Of course, the are many details to each of the core objectives. But these could be described as the primary goals in economic development.
Currently, there are ‘demands’ for fast food workers to receive a $15 wage. For the sake of argument, let’s say that occurs. What will be the outcome?
- Paycheck increase *
- Tax Revenue increase *
- Increased revenue for the ‘under employed’ *
- Increased prices (decrease in value)
- Loss of business (no longer affordable)
- Potential staff reduction (loss of jobs)
- Poor service (unhappy customers)
- Loss of more business
- Loss of profitability (business elimination)
- Tax revenue reduction
Mandating a wage that businesses cannot sustain will result in the exact opposite of its intent. Fewer workers, fewer customers, loss of business, less tax revenue, and an increase of those who will need of assistance. With the ever-increasing entitlements such as healthcare and the food stamp program common sense dictates that this is an unsustainable economic plan.
The Bible has provided us with God’s economic plan that works – if we would only choose to follow it.
- Work with enthusiasm, as though you were working for the Lord rather than for people. Ephesians 6:7 – we should all work to the best of our ability
- Despite their desires, the lazy will come to ruin, for their hands refuse to work. Proverbs 21:25 – there are consequences for those who are able to work and simply choose not to
- Those who oppress the poor insult their Maker, but helping the poor honors him. Proverbs 14:31 – we must do all we can to help the poor
- Good planning and hard work lead to prosperity, but hasty shortcuts lead to poverty. Proverbs 21:5 – working hard and planning teaches us to appreciate the value in all work, and striving for higher goals
- When people work, their wages are not a gift, but something they have earned. Romans 4:4 – Paychecks are not door prizes bosses give out just for showing up. We earn them and should be paid accordingly.
At the same time as the call for higher wages for fast food workers is being pushed, our president is proposing a 1% cap on pay increases for our those serving in the military. Those brave men and women who put sacrifice their lives to preserve our freedom. Those who are undoubtedly underpaid already. This is an insult to our armed forces and its logic confounds one’s sensibilities.
We have multiple threats to the security of America and our allies. We have hooded terrorists beheading American citizens and broadcasting it on the internet. Given the choice, of course, we would choose to live at peace. However, we have very real enemies who would like nothing more than to bring this evil to our shores. We need to maintain a strong military.
- Two people are better off than one, for they can help each other succeed. Ecclesiastes 4:9
At times less may be more, but there are times when there is strength and efficiency in numbers. Both of these economic proposals would likely reduce numbers, revenue, efficiency, and most importantly, … safety.
*Scripture references from The New Living Translation