The Fallacy of Cheap Labor

It’s Labor Day, and our country’s southern border, for all practical purposes, has ceased to exist. Remember the Amnesty-Open Borders crowd when the savages from ISIS start blowing up Americans after easily sauntering across our nonexistent border.

Supposedly the national Chamber of Commerce wants open borders and amnesty so business can have an unlimited supply of really cheap labor. Depress the cost of labor, so the theory goes, and maximize your profits.

Let us apply some common sense.

Who can buy more goods and services: people with a lot of money, or people with hardly any money?

Henry Ford, 100 years ago, made sure to pay his employees enough so that they could afford to buy Ford cars. The idea caught on, and soon America had a thriving middle class, with entrepreneurs hustling to meet the burgeoning demand for all kinds of goods and services.

But what are these new peons going to buy with their skimpy paychecks? Hot tubs? Vacations? Nice cars? Visits to classy restaurants? What is the point of manufacturing cars, for instance, if the labor force can’t afford to buy them?

Oh! But it’s all going to be done by robots soon! Well, if that’s the case, you won’t need any labor force at all, will you?

Wealth is created by innovation and hard work. Only college students, their professors, and left-wing politicians and noozies don’t know that. But if the hard work is not to be sufficiently rewarded, why should anybody bother to do it?

Greed, I suppose, drowns out common sense. Or, as the Bible puts it, The prosperity of fools shall destroy them (Proverbs 1:32).

2 comments on “The Fallacy of Cheap Labor

  1. Good morning, Lee. It is refreshing to see that are still a few sane folks among us. The way you explain this, even a child should understand.
    They would if only the schools they attend did not keep them stupid. We all knew these things when I was growing up, but alas, today that simple knowledge has been obscured by lies and fairy tales. Back then, we understood when we were receiving fairy tales, but not these days.

  2. “The prosperity of fools shall destroy them”. A perfect application. Some of the current generation can’t even conceive of anything short of ever burgeoning prosperity.

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