Hesitant to support minimum wage increase
I am hesitant to support a minimum wage increase. I believe everyone who deserves higher wages should receive them, but it can only be done following economic sense. Laws of supply and demand are important, and no legislator has ever been able to overturn them.
Proponents of higher minimum wages are correct in the sense that it will attract more low-skilled, unemployed workers. However, they are not guaranteed a job.
We also have to realize that jobs are commodities, services that are bought by employers and sold by employees. The laws of supply and demand tell us that by increasing the price of a commodity, you lower the quantity demanded. History and recent studies show us that by increasing the price of labor, the quantity of jobs demanded falls.
What is also left out of this debate is the fact that this hurts labor in the long run, as employers switch to more labor-saving methods of production. This results in a reduction of the workforce or a cut in hours, as labor is no longer needed.
There is a second party that always gets left out of the discussion: employers. The first thing I intend to do before taking a position is to talk with business owners in Whitefish. I want to learn if they can afford a minimum wage. If not, I’ll ask what we can do legislatively to enable them to raise wages.
As a candidate for HD 5, I will do my best to represent all parties.
— Chet Billi plans to run as a Republican for House District 5