Touch the Soil News #569 (Feature photo – Annette Bernhardt CC 2.0)
The fight for $15 minimum wage for fast-food workers has recently hit the streets again.
For people, good economics is when many people are working at a survivable wage. For example, one businessman once told me that good economics is when 1,000 people farm 10 acres each and all make a living. Bad economics is when one farmer runs 10,000 acres with an army of minimum wage labor.
When it comes to finance, it can be the opposite of economics. Good finance can be when 1 person can run a 10,000 acre farm using hundreds of minimum wage workers to save millions on labor costs. It helps keep the price of food down.
On the other hand, economics says that prosperity comes from everyone working with a living wage – it gives consumers purchasing power to buy what is produced. It seems the food chain is saying we should analyze the extent to which finance and good economics conflict.