OT: actually I think that the minimum wage should always pay more than welfare so I did not phrase that not greater than statement well, should have said less than. It should always be more financially advantageous to work than not to work and if someone on welfare refuses a job that is offered to them then their welfare should be withdrawn as punishment.
I do believe though that minimum wages should be liveable because employers naturally use it as a lowest common denominator, my cousin for instance who used to pay his employees less before it was introduced and it made no real difference to his business profits when he had to raise their salaries.
Obviously at some point a minimum wage becomes too expensive and creates unemployment but we are far from that point I believe and you can for instance instead raise the lower tax threshold for everyone and those earning lower wages will benefit proportionately more.
It's a well known fact that the more proportionate the distribution of wealth the more greater the positive financial effect on the economy as those with serious wealth hoard most of it and it is taken out of productive circulation. I am not saying use socialism to correct this but you can structure the tax system to do this so you pay much less tax on say your first $20K. I am all for lower taxes and less government expenditure but capitalism also should be made to benefit everyone who participates in it not just the guys at the very top.
I really don't know what you are advocating though as a solution as I can recognise and sympathise with all the bad symptoms you mention. No welfare at all, survival of the fittest/luckiest ? If you think crime is bad now wait and see how that turns out and what about those who use welfare just as an aid in between jobs, should they be collateral damage ? The 30s Depression was absolutely terrible for those 25% who found themselves out of work through no fault of their own and wanted to work, do we really want to turn the clock that far back ?
Work just has to be made to pay more than welfare to remove moral hazard and it surely is not beyond the realm of elected governments to structure a wage/tax/welfare system that does
this. Welfare should be a hand up not a hand out.
p.s. France is now reversing that 75% policy after seeing how uncompetitive it made them to top earners who were fleeing France in numbers.
