ruveyn wrote:
Who gets to determine what is "fair and reasonable"? Those political whores in Congress?
In any free transaction, the price of the good or service is determined by mutual agreement between buyer and seller, not some bribe seeking congress critter.
ruveyn
But your fantasy world requires equality of bargaining power. There cannot be mutuality of agreement when one party to the transaction can say, "take it or leave it," because there are a thousand other people in the line waiting to make the same transaction. When the marketplace is demonstrably broken (and I say that full time workers relying on food stamps is ample demonstration of that), then it is the responsibility of the legislature to impose correction. Given the choice between forcing minimum wages up, or forcing prices down, I prefer the former as the least interventionist approach that will address the issue.
So what is fair and reasonable? In my view it is that amount, in a given market, that will provide a person--based on a forty hour work week--with take earnings of at least50% of the amount required to meet the poverty line for a family of four.
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--James