The replacement of labor by technology is an eternal constant. If your business requires help in order to operate, then you should pay a living wage. The government is (at its core) the over-arching organizer of last resort for the common good. It allowed societies to increase in size by providing over-site to the organization.

Let me go back in time to when our societies were much smaller, say 50 to 100 individuals. Organization and fair distribution of resources allowed those societies to thrive and grow. For example, no individual could effectively bring down a mastodon by themselves, but by organizing and coordinating a group of hunters, the success rate would ski-rocket.

The food would then be shared fairly, even with tribal members that did not hunt such as the old. In such a small organization, if one individual tried to take too much of the hunt he would immediately be corrected (or murdered). No over-arching government body was necessary, but once societies started to expand in size to the point that there was easy anonymity, it became necessary to have formal laws, otherwise the society would be unstable and eventually fail. That is why no large society has survived without a political structure. If there is anonymity (no consequences), the self-interest and greed that is present in the Human animal tends to take over…look at the internet!

To get back to your example of jobs being lost to technology, I have to say that if technology is not being used because Humans are cheaper, then how is that any different than the situation that existed in the American economic model of slavery? The Cotton Gin machine which was invented in the 1790s was not widely used until slavery was band (labor became more expensive) eighty years after its invention..

The government has to do MORE than just enact minimum wage laws, it has to capitalize the education system so that people can participate in the 4th industrial (knowledge) revolution. Only a political structure (government)can accomplish this.

Look at the most successful economies with the highest ranking in Human well-being and you will find that they the most governed economies as well as having the best funded education systems. The U.S. ranked 28th in the World for15-year old math and science students…that is what you get from smaller government. More people in the U.S. believe in angels than in Natural Selection. That goes quite a long way in explaining why America doesn’t want living wages (or healthcare).

Forty years of private equity trading, and still learning.

Forty years of private equity trading, and still learning.