News for hackers. Stuff that matters.
Re:Unnecessariat by tomjen3 on Wednesday May 25, 2016 @12:08PM (#11770822)
Is it better to employ a worker at 80% of a surviving wage, or on a wage only high enough to survive of if you are healthy and without children, or not to hire that person at all?

Also I think you can survive on minimum wage, but surviving just means not dying. A surviving wage would only have to be high enough to afford the worker a 9 squarefoot of decently heated dry room to sleep in, two sets of adequate but not nice or new clothing, a winter coat and sufficient caloric intake not to starve, as well as access to a place to urinate/deficate and, probably, the occasional shower. I don't think that is that costly, actually, but it is possible to survive at this level.

So personally I think we should aim a little bit higher than survival. I am not concerned with the differences between the poor and the rich - no person was ever fed because his neighbor is also poor, but with how the poorest are living.

Re:Unnecessariat by dredmorbius on Wednesday May 25, 2016 @04:49PM (#11772959)
That's a fair question, and again, I'd strongly suggest reading Smith. Chapters 8 and 10 of book one cover this in detail, and lay out numerous interesting arguments.

He's adamantly clear that the survival wage criterion is an absolute minimum. He also lays out what the story is, for the economy as a whole when this isn't met (his prolonged discussion of China).

He addresses (mostly in chapter 10) additional considerations which raise the value of some work. Something technical workers and contractors would do well to read.

Smith discusses the matter of elements which had been considered luxuries but which are, by the custom of a nation, essentials. That would include, in most developed countries, electricity, running water, sewage, residential gas (possibly), phone and Internet service, a fixed postal address, reliable transportation, and the like.

What Smith doesn't mention (excusably) nor Robert Gordon (in The Rise and Fall of American Growth) somewhat less so, is Maslow's Hierarchy of Needs. You'll frequently see (including sadly here on HN) arguments that the existence or ownership of a cellphone or smartphone somehow indicates someone isn't poor. While Gordon does* correctly point out that predictability and reliability of income is crucial to a middle-class existence, he fails to note that Maslow's pyramid cannot be built from the top down. Providing for safety and security, food, clothing, and shelter are the minimum.

I've explored Smith and Maslow more at my subreddit / Lair of the Id, you might enjoy reading articles there: https://dredmorbius.reddit.com