Herman Cain: It is your fault you are not rich...

[mrstickball]

ImJustBayuum said:

Kasz216 said:

A) Not everyone has the knowledge or skill to move up or start their own buisness... but everyone has the oppurtunity and ability to get that knowledge and skill.

B)  That's why you commute to work from cheaper outter areas.  The problem isn't that we don't want to pay workers fairly... it's that we don't want to pay workers fairly because the value of many kinds of labor is very low to the point of it being seen as below what we would like to see people work.  Most people who are getting paid minium wage crazy enough are getting overpaid, that's why minium wage exists.  So companies are forced to overpay for labor because we think people should deserve a minium amount of money for their time even if their time isn't worth that in market value.

C) Except it's a lot harder to be a CEO then it is to be a worker.  It's hard as hell to find a good CEO to the point where you can make a bunch of money on the pretext of being good... while as you said... there are more then enough workers.  Either here or another country.

The problem has nothing to do with the rich, and everything to do with labor being so cheap.  Back in the day, quality intellegent america labor was worth a LOT,  now it isn't.

Why?  It ain't got nothing to do with companies... it's got everything to do with consumers. 

Nobody wants to pay a premium for quality labor and quality products anymore.   Everyone would rather by the cheap Wal-mart style brands... or when they do buy expensive brands in stuff like shoes, it's for the look, not the quality.

We're moving from a Labor intensive value market to an info/knowlege intensive market.

I heard today the top 5-6 tech companies employ less people then 1/3rd the workforce of GM in the 1980's.

The middleclass isn't shrinking because of corporate greed or anti-middleclass laws or anything like that.

The middle class is shrinking because the old middleclass jobs aren't viable anymore, and the new middleclass jobs don't support as many people and require more thinking.

@bolded

There is and always will be a differential market.Why? Because there is something called VALUE. Value is not just about quality labour. For example, Low valued, overpaid labour can still produce products that sells at a premium because a lot of customers see value in them, and still make more profit than selling at low cost. Their quality may not be premium, but their prices certainly are. These companies set their prices according to maximum value instead of the old price setting  "cost + mark-up" where the lower the cost the higher the profit. Consumers are not naive to base their buying decisions on cost only, even in this tough economic environment.  Is  it wrong to challenge these bigwigs to seek more value, innovative products instead of just slashing labour or attacking the minimum wage legislations.

 

How large is the differential market, though? Somehow, I don't think its large enough to satiate employment for every low-skilled worker that needs overpaid.