This increases the cost of labor, and therefore cost of goods across the economy. Its a big part of the reason why US based manufacturing is increasingly impractical.
Your point expands to all social services our government has outsourced, from retirement benefits to transportation, too.
And the taxes could be spread more progressively, e.g. to match the rate of wealth accumulation people get from having passively having wealth
The 'American Dream' is a stable job, a modest home with 'plumbing' and 'electricity' and maybe one car, plastic tupperware, maybe a dishwasher, and a safe community with basic constitutional protections and a justice and democratic system with integrity and legitimacy, decent public schools and some access to higher education.
All of that is revolutionary in the grand context of history.
The 1950's 'America Middle Class' is the dream, as it is for many migrants to the US for whom those things are like heaven.
The '$100K job, BMW and Corner Office' - that's something else, more like icing on the cake.
People forget how hard it was for the world to create the basic '1950s middle class standard of living' and frankly how delicate the system we live in is.
Within a generation we've come to accept that as more of a 'basic' condition of life, rather than something aspriational, which is a bit tragic. Most immigrants 'get it' though.
I'd guess a factor in ending this has been the rise or at least growth of an administrative or managerial class in most businesses.
An apprenticeship model lets people grow, and to some extent a similar model used to apply in business, where the executives and managers were all career industry people who started on the shop floor.
The current system is closer to (closer, not the same as) a feudal system where there is a group of nobility that manages a group of serfs, and there is not much movement between the groups, at least at the same company. Admission into the nobility is based on education and other pedigree, and can never really be had by work experience.
Interestingly, that might be the case for Fortune 500. But among the fortune 10, most CEOs/C-Suite are engineers with long tenures at the company.
Actually, if you look back at some of the most influential companies in the Valley at their peak, that's been a rule of thumb since the Fairchild days. Andrew Grove is an example of that [0].
Then along came the laser/UPC/computer system and deskilled the job. No longer did you need to know the difference, the computer printed up a natural language description of the item. This allowed stores to get much larger, because no one could know all the prices in a large store (early department stores handled the size by making you pay for items in each department, using store balance accounts to not create too much friction). This fundamentally reshaped the relationship between capital (who owned the stores and the computer system) and labor. It's actually the exact same alienation of the individual from their labor that Marx was writing about in the 1850's, just for jobs that didn't get the same attention.
Similarly, an in-law worked as a teller at a bank. 50 years ago that job would have more upward mobility because banks managed their risk locally: after many years as a teller and then as a loan officer you could move up to be the local person making the decision on loans. Nowadays large banks have centralized that with fancy computer systems to guide the decision, so there are entire paths of advancement that essentially don't exist anymore because computers spit out the answer. There is only shift and then branch manager, with once again the owners of the computer system using it to de-skill jobs and cut off promotion opportunities. (See, e.g. Better.com, using poorly paid contractors to do all the tedious stuff that can't be automated, and then letting the computer do all the high skill work.)
This is, by the by, one of the reasons that computer programmers continue to get paid well, because we are enabling capital to de-skill and bifurcate jobs better and better.
Alternatively put, we've commodified human hand eye coordination and basic speech recognition and intent resolution. This view is definitely supported by the current state of the gig economy.
That is, management was declaring that there was no value in experience whatsoever (until you got to management levels, naturally), and that they could replace anyone with a new hire without loss of performance. (After all, the way you got to be a highly paid retail person was to stick around for a long time and be pretty good at your job.) And while most managers in a retail setting aren't quite as obvious about it, that sure seems to be how they feel: employees are completely fungible, and it isn't worth paying them enough to get them to stay.
(Costco is a notable exception in the US: notice how the standard Costco name badge includes their start year on it, that is one of the ways Costco signals that they do value experience. They are also significantly more profitable per sq/ft than Sams Club, their competitor in the warehouse segment operated by Walmart. I strongly suspect that those two facts are related.)
The American dream is not about starting low and making it to the top, it's about upward, intergenerational class mobility.
Much of the world views the American Dream as America as a place where one can come, work hard, be treated fairly and be rewarded regardless of social class or circumstances of birth.
The extrapolation of this concept into a larger ethos that includes upward, inter-generational class mobility makes sense, but is just one element of an ethos based on the basic principles of "life, liberty and the pursuit of happiness."
So here is mine, from a French who chose to emigrate in China instead of the US: the idea was that you'd come from your bum-shit country into that vast new land of opportunities where everything was to build, you build it and are rewarded in a fair meritocratic system in ways your rotting homeland could never have provided.
But now, you have to get your Twitter account scanned to be allowed entry under a temporary visa (or hey, try a green card lottery), risk upsetting an untreated schizophrenic while crossing the streets, to go to a gun-heavy anti-police protest anarchists use as an excuse to empty their Molotov stock while the police, too happy to finally have a purpose for their military weapon stocks, shoot at random. And if you are at the wrong place at the wrong time, you can be sent to a private jail. All the while, any accident you would have would not have been covered by any sort of socialized insurance but you'd be under one of the most punitive international tax system. And if you're unlucky, you can always take a payday loan, and join the merry mass of indebted grassroot people who have negative equity for no reason a rational mind could understand.
The American nightmare, it seems to me :s
Mighty ironic of you to go on such a lengthy rant to bash the US off your Western European high-horse (white male too I presume?) living in China like a priviledged westerner, but where the stuff you bashed the US for is amateur level stuff.
Be careful with all those Winnie the Pooh memes or you might loose your social credit points, comrade. Could you please point out the free nation of Taiwan on the map, in public, for everyone to see please? My geography is a bit rusty. Also, how are them force labor death camps this time of year over there?
What are the odds of that?
Everyone wants the job, and there's only one of them to go around.
This is the reason you see such similar personalities occupying extremely high positions in companies. You need a certain mentality and dedication to set everything to the wayside for the pursuit of climbing the corporate hierarchy.
no, everyone does not want that job. People who do want that job reduce the equation that way, though
But yeah, I guess low-level employees should do without healthcare, they just shouldn’t be poor AND sick after all :)
If companies have to provide healthcare coverage for their fulltime employees, but not their gig workers and contractors, which type of employment do you think they are going to prioritise?
If healthcare costs were applied uniformly through tax (as is done in most countries with universal healthcare) then there would be less reason for employers to prefer one type of employment contract over another for low level jobs.
Your eagerness to shit on America made you entirely miss the point. Believe it or not, it is extremely obvious to many that universal healthcare would be a cheaper and preferential option.
It's possible German stocks are well priced, in a regulated, slow and rational market that cares about fitting the price with the value of the company, and would hold most of their current market cap much more than Apple, were it liquidated.
LOL, well regulated and rational my ass. The Deutsche Bank and Wirecard scandals (puls numerous more) proved the German government is just as corrupt when it comes to manipulating the market and threatening honest journalists, so that some rich and well connected scumbags can get even more obscenely rich. I've worked in several western countries but never saw more high-level corporate corruption than in Germany.
Oh yes, the regulation (BaFin?) totally was out of order on that one!