Part of "lower wage taxes" would roll down to "less government support", which would theoretically roll down to "more people seeking gainful employment", which would affect the supply/demand curve of the labor pool, etc.
I mean, we've run these experiments. There's no need for "theoretically." You can compare outcomes in countries with more and fewer social programs. Spend a couple hours comparing healthcare outcomes, poverty rates, unhoused rates, etc across various first-world nations, compare that to tax rates and social program availability, and see if you can come to any conclusions.
I will say I have not studied this deeply, but I've also given it much more than just casual thought, so I am genuinely curious to know what your sample examples of successful countries are.
Part of positive inflation metrics is that it was reinforced by cheaper electronics. But what about anything where human labor is involved that isn't outsourced to low wage countries?
I am unconvinced that this is the reason that businesses don't pay workers more.
Workers are usually paid according to their _replacement_ cost not the value they bring generally. In an ideal equilibrium, where the worker can push back against the employer equally, sure. However, that's seldom the case.
Businesses also push back harder by hiring _definitely_ exploited workers, e.g. in agriculture and meat packing, or by hiring contractors.