Quote:
Originally Posted by spinner1001
The present system of setting wage levels is the best system and other systems are worse.
Wage levels here are the result of free markets — the best system for setting wages. What other system exists that is better for setting wage levels? I don’t know of one.
If a free labor market does not set wage levels, then what person or committee would determine how much a person is worth and ought to be paid? And how would this dictator or committee be chosen? There is no good way. Would this dictator or committee set wage levels at the same as what you believe is the right level? Probably not. What then? Fire the dictator or committee until you get one that you like?
There is no better system for setting wage levels than the present system. Other systems have been tried and don’t work well.
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First of all, I agree with you, I'm a believer in capitalism and free markets. However, our markets are not necessarily "free".
Ever hear of RVRBS? (Resource Based Relative Value Scale). This is the system used by CMS (Center for Medicare Services) and most 3rd party payers for physicians. This system, approved by "committee", sets payments for all medical services. There is no "free market", no negotiation, you either accept the decision of the "committee" or not participate in Medicare and any insurance that uses RBRVS. BTW, this system was developed 40 years ago by a Harvard economist who had no idea of medical services and their value, resulting a deeply flawed system that vastly overpays for "new" procedures and technology.
Another example: By regulating the number of hours a long haul trucker can drive (not necessarily a bad thing), the government in effect limits his income.
There are many more examples, but this gives the poster who stated surgeons are paid less than sports figures an idea of why. (Not so much why the sports figure is paid so much, but why the surgeon is paid relatively little)