Wages and Minimum Wages

Wages: Regular Revenue

We define wages as the revenue to live, obtained from the abundance experienced by employers.

Wages are the revenue needed to maintain oneself and whatever else is important to one’s life (such as one’s family). Having high wages therefore means having more ability to live life, as compared to a low wage person who is limited in life.

Labor or work is the main activity required to live. You need to work to find something to eat which in turn is needed to stay alive.

According to Cantillon, the lowest labourer must earn at least double his own maintenance so that he can bring up two children with the help of his wife.

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Adam Smith Wealth Of Nations Book 1, Chapter 8

A slave does not earn wages because his life does not belong to himself. Instead, his ability to live is determined by his master, just like a machine. We do not say that a machine’s gasoline is part of its revenue.

The switch from slavery in the United States into wages weakened the warrior class and strengthened the trader class since wages were denominated in money which as controlled by the trader class.

In Eastern metaphysics, we can say that wages are usually the revenue of the masses as the worker class or shudras.

Replacing Minimum Wage with Minimum Needs

An effect of mercantilism was the dominance of paper money and paper stock certificates. This allowed value to be amassed, creating inequality alongside the rapid growth facilitated by that paper.

Currently, the dominance of money is seen even in minimum wages which is denoted in money.

In the ancient system, minimum revenue was denoted in grains:

• Confucius mentions rice
• Adam Smith mentions wheat as corn

We replace minimum wages with minimum needs denoted in points which represent the retail price of 1 kilgram of rice or wheat.

This addresses the basic requirements of people.

This is because an additional tax or contribution, payable in kind, will fund the Needs system.

To increase the fund, minimum wages must be abolished. This will allow low wages, but forced contributions to the Needs Fund.

Wages rise from the continual increase of the national wealth, not from its actual greatness

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Adam Smith Theory Of Moral Sentiments, Part 4

Unlike the money system that needs one party to have money and a meeting of minds in order to make a transaction, the points system just needs a meeting of minds.

This allows resources to flow more easily to satisfy the needs of people faster.