Contra Ricardo: An Essay

Chapter 3: Iron Law of Wages

  It is to the advantage of every employer to encourage loyalty, gratitude, self-interest in keeping their job, and a vast knowledge base of that particular company's situation in his employees. He should avoid firing, demotions to the extent consistent with justice and need. The Iron Law is consistent with a money grubbing mindset that cares nothing of the commonwealth, is prejudicial to it, conspiratorial in that other greedy magnates conspire to sabotage good employers out of greed, lust and malice. This law is not conducive to the generation of wealth and is no law at all, but simply the result of lawlessness. Moreover, it ignores the main cause of inefficient production, bad management, not bad laborers. Back to Table of Content