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Subsidized Labor - The Idea to Change the World
Imagine society where:
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![]() Hello, my name is Brian and Subsidized Labor is my idea. |
What is Subsidized Labor?
Subsidized Labor is a system where instead of subsidizing things like oil and corn, we subsidize labor
and then leave everything else to a free and open market.
What does Subsidized Labor do?
Subsidized Labor is designed primarily to accomplish 2 things:
What this means is that as a nation we will produce more wealth (goods and services) over all. The end result is that we'll have more wealth to divide amongst everybody.
It basically means that if you are willing to contribute to society then society is willing to let you share in its overall wealth.
1. Produce 100% employment
Under a Subsidized Labor system everyone who wants to work gets to work. Right now we have an economic system which is operating at about 70-80% employment when you count everyone who is either unemployed or just not working because they'd rather get government assistance. A Subsidized Labor system will produce nearly 100% employment.What this means is that as a nation we will produce more wealth (goods and services) over all. The end result is that we'll have more wealth to divide amongst everybody.
2. Put a minimum value on labor
The second thing Subsidized Labor does is to put a minimum value on labor, for example $10 per hour. I call this the subsidy wage. This is a minimum wage that is paid to you by the government for working any job. On top of the subsidy wage your employer will then pay a surplus wage. These two wages will be your total wage. (more on this later)It basically means that if you are willing to contribute to society then society is willing to let you share in its overall wealth.
What Subsidized Labor does not do
Subsidized Labor does not:- Guarantee you a job - you still need to be a good worker to get paid
- Force businesses to do anything - businesses are free to hire and fire whoever they want.
So how does Subsidized Labor actually work?
You can think of a Subsidized Labor system a single huge union that everyone belongs to.
Where the union dues are taken out of the total production of society itself.
There are 4 entities involved in a SL system:
Instead, with Subsidized Labor, companies can sub-contract labor from the city for what's called a surplus wage. Half of the surplus wage will be returned to the government (to pay for the system) while the other half is paid to the employee.
So for example let's say the company pays a surplus wage of $6/hr. One half of that ($3) goes back to the city/government, while the other half ($3) is paid to the employee.
As far as the government is concerned, yes they did have to come up with $7/hr, but as we will see later this is more than offset by the increased taxes they'll receive as a result of increased corporate profits PLUS the fact that they will no longer have to pay for welfare programs such as unemployment, welfare, foodstamps, and low income housing.
Check out the FAQ for more info on how much this will cost.
There are 4 entities involved in a SL system:
- The federal government
- The city
- The company
- The employee
The subsidy wage
How SL works is that you are hired by a city and not by an employer. They city gets money for this from the federal government. A city is free to hire anyone they want. Once an employee is hired by a city he is now paid a subsidy wage (for example $10/hr) + benefits.The surplus wage
The surplus wage is the most important part of the Subsidized Labor system because simply having a system where everyone works for the government for the same exact wage is a very bad idea (see communism).Instead, with Subsidized Labor, companies can sub-contract labor from the city for what's called a surplus wage. Half of the surplus wage will be returned to the government (to pay for the system) while the other half is paid to the employee.
So for example let's say the company pays a surplus wage of $6/hr. One half of that ($3) goes back to the city/government, while the other half ($3) is paid to the employee.
The end result
The end result is that the employee is paid $13/hr (subsidy+surplus). The government ended up paying $7/hr and the company pays $6/hr. This is much better for the employee because their wage is higher than it otherwise would have been. This is also much better for the company because they also need to pay less than they otherwise would have in wages.As far as the government is concerned, yes they did have to come up with $7/hr, but as we will see later this is more than offset by the increased taxes they'll receive as a result of increased corporate profits PLUS the fact that they will no longer have to pay for welfare programs such as unemployment, welfare, foodstamps, and low income housing.
Check out the FAQ for more info on how much this will cost.
What effect will a SL system have on society?
The SL system in theory is quite simple, yet it will have several profound effects on the economy and on society itself:
Have you ever noticed how whenever we want to actually fix one of these problems they always bring up jobs again and again? We can't stop polluting because it's going to cost us jobs! We can't start using less gasoline because it's going to cost us jobs! And we can't help people in other countries when our own people are going hungry and can't get a JOB!
Subsidized Labor will effectively end the jobs debate, because everyone will be able to get a job with a living wage. Now (hopefully), we as a people can start turning our attention to the real problems of the world.
This is what I mean when I say if the country produces more as a whole, then there will be more wealth to distribute to everyone. How exactly will that manifest itself? With lower prices!
1. End the jobs debate
Have you ever noticed that all everybody in government ever talks about is jobs? How to create jobs? How to save jobs? What's the unemployment rate? It's like the only thing the government is around for is to give us all something to do! Meanwhile, billions of people overseas are starving, we're running out of oil and other resources, and the natural environment of our planet is going to hell in a handbasket!Have you ever noticed how whenever we want to actually fix one of these problems they always bring up jobs again and again? We can't stop polluting because it's going to cost us jobs! We can't start using less gasoline because it's going to cost us jobs! And we can't help people in other countries when our own people are going hungry and can't get a JOB!
Subsidized Labor will effectively end the jobs debate, because everyone will be able to get a job with a living wage. Now (hopefully), we as a people can start turning our attention to the real problems of the world.
2. Allow the people to give themselves a new quality of life
Think about it, under capitalism what would happen if we suddenly doubled our productivity? Would we all now get to work half as much? No way, we'd still work 40 hours a week and be stuck in the same rat race trying to keep up with the Jones. With Subsidized Labor, if we had an increase in production we could simply lower the Subsidized work hours from say 40 to 35 or 30. This would have the effect of making ALL COMPANIES lower their working hours at the same time because they aren't going to want to pay non-Subsidized wages.3. End the welfare state
Many conservatives in our government have long fought against the welfare state - government programs like unemployment, welfare, low income housing, food stamps, and disability. And they have a right to, after all if you pay a man to do nothing he WILL do nothing. Now for once we have a program that can effectively end all of these programs and replace them with people actually working for the collective benefit of society.4. Give power back to the middle and lower class
Think of the Subsidized Labor system as one huge union. However unlike regular unions this one is not designed to help you keep one specific job or claim your part of the riches of one specific company. Instead, by raising the subsidy wage our lower and middle class can now claim a larger portion of the overall wealth of the country.5. Lower prices
The cost of labor is part of the price of everything. How much of the price of your morning coffee is the result of the labor costs for the barista, the store manager, the delivery guy, the janitor, the guy who manufactures the cups, etc...? If labor costs go down, then the price of everything goes down.This is what I mean when I say if the country produces more as a whole, then there will be more wealth to distribute to everyone. How exactly will that manifest itself? With lower prices!
6. Substantially reduce both crime and poverty
Most crime is a result of unemployment. Most poverty is a result of unemployment. Do you think we could save some money by clearing out our jails? Do you think we could save some money and restore dignity to people by letting them work instead of making them stand in line for handouts?Can one idea really accomplish all of this?
Can a single idea change the world?
Imagine what China was like 30 years ago under communist rule. They were a nation of poor, ignorant, farmers barely scraping by. Then in the 1980's they began to embrace a single idea - capitalism. That idea transformed their entire country into an economic powerhouse and raised billions out of poverty all within the span of a few decades. This is the same astonishing growth in prosperity that western nations enjoyed 100 years prior due to their embrace of capitalism. So can one idea change the world? You be it can!So what's wrong with capitalism as it is?
Capitalism is an engine of growth - and what it grows above all else is the overall production and wealth of society. Unfortunately, capitalism's benefits do not spread evenly. It causes some people to lose jobs and prosperity while others gain jobs and prosperity. It's all wonderful for economists to tell us about the benefits of capitalism, but that's not much comfort if you're one of the losers in this equation. With globalization the current main beneficiaries are only people in poor countries and the corporations who are lucky enough to be able to do business in those countries. The governments of rich countries have tried to make up for this by simply giving the losers of the economic game money by creating a welfare state. This has resulted in a situation where literally hundreds of millions of people around the world are paid to do NOTHING.Conclusion
Subsidized Labor is an idea that I've allowed to grow in my own mind for several years.
In the years since I started thinking about it I've tried again and again to think of a reason
that it won't work, but every time I think I've got one, a solution presents itself.
Therefore, having grown and tested the idea in my own mind,
I believe it's now time for me to put it out into the world and see if it will take root.
I'm not saying it's guaranteed to work or that I have all the answers, what I am saying is that this is the best new idea out there. It's big, bold, and powerful and it deserves consideration.
I know you aren't sure if it will work, and I know you're nervous to put your neck out there and introduce the idea to other people. So here is a little trick I learned, just send it on and ask "so what do you think about this?"
Think of it in terms of risk/reward. What are we risking by exploring this idea? Not much, while the potential rewards are world-changing. So please visit the FAQ if you have questions and then vist the discussion page to give your input if you believe the idea at least has some potential. Also, consider helping me out if you find this is something you'd like to believe in. And finally, whether you're convinced it will work or whether you're just hopeful, please share this idea and this website with others.
- Brian
I'm not saying it's guaranteed to work or that I have all the answers, what I am saying is that this is the best new idea out there. It's big, bold, and powerful and it deserves consideration.
I know you aren't sure if it will work, and I know you're nervous to put your neck out there and introduce the idea to other people. So here is a little trick I learned, just send it on and ask "so what do you think about this?"
Think of it in terms of risk/reward. What are we risking by exploring this idea? Not much, while the potential rewards are world-changing. So please visit the FAQ if you have questions and then vist the discussion page to give your input if you believe the idea at least has some potential. Also, consider helping me out if you find this is something you'd like to believe in. And finally, whether you're convinced it will work or whether you're just hopeful, please share this idea and this website with others.
- Brian
