Study Guide to Man, Economy, and State with Power and Market

194 Study Guide to Man, Economy, and State with Power and Market
H. Minimum Wage Laws and Compulsory
Unionism
To the extent that government measures (such as the
Wagner-Taft-Hartley Act) allow unions greater scope to
coercively restrict the labor supply, they raise wages for
the privileged workers and reduce them for the nonmembers.
I. Subsidies to Unemployment
Government unemployment benefits slow the transferal
of displaced workers to new jobs, and help mask the
harmful effects of unionism and other restrictionist policies.
J. Penalties on Market Forms
Arbitrary penalties on specific organizations harm
efficient producers. Examples include taxes on chain
stores, laws limiting hours of business operation, outlawing
of pushcart peddlers, and corporate income taxes.
K. Antitrust Laws
As the only sensible criterion of trust or monopoly is
a legal privilege conferred by government, the antitrust
laws are necessarily vague. They stifle efficient mergers
and penalize those firms that gain market share by satisfying
customers.
L. Outlawing Basing-Point Pricing
On the free market, one price will prevail at the point
of consumption, but producers may charge different prices