When the poorest man or woman needs to find a way to make a living, he or she needs the support of the working-class industry. Within this industry, there may be factories of all sorts, and there may be service jobs of all sorts. Nonetheless, if a large country focuses on the service sector only, there won’t be enough jobs. Furthermore, if the working class environment doesn’t provide a diversity of both service and factory jobs, then there would be fewer choices for the working-class group to find the right jobs that would fit their abilities and demands.
This is why I think it’s wrong for a country to be a narrow mind in terms of thinking of doing away with this sector and that sector, because the fewer available job sectors there are the fewer jobs there will be for the working class group. Often the poorest people in a country would find themselves toiling away in the working-class sectors. Without enough manufacturing and servicing jobs, the working class group would not be able to put food on their tables. Basically, the working class sectors are the last resort for the poorest people in a country. When the last resorts are not available, the people would find themselves drowning in debt and financial difficulties.
Without the working class sectors to support the poorest people in a country, there won’t be a way for the poorest people in a country to sustain themselves and wait for better opportunities to come by. When the minimum wage is too high, employers in working-class sectors would try to find ways to cut costs. Perhaps, these employers would fire their employees to cut even more costs to boost profitability for a business. Doing away with minimum wage altogether may allow employers to exploit their employees with lower wages, but the competition to acquire good employees will provide higher wages regardless. With minimum wage, small businesses will find surviving to be harder than usual, and big businesses will have great advantages over small businesses as they got more cash to pay for the minimum wage.
The high-income tax would furthermore drive the poorest man or woman to the brink of desperation. High corporation taxes would export jobs to countries with fewer corporation taxes because we are living in a globalized world. Finding the balance that keeps a country wealthy but does not try to tax the working-class people or corporations too much is a tall order. Nonetheless, it would be wise to do so, because taxing the local population and companies too much would destroy a country’s future.
What about sale taxes? Well, high sale taxes or any tax we could speak of would be a disaster anyway. Thus, minimum sale taxes are necessary too. The local population would appreciate buying things with cheaper sale taxes in a market environment with either low or high inflation. We are not living in a perfect world/country, thus we cannot demand to do away with all taxes, but a high tax on anything is a recipe for disaster. Common sense, really! Anybody, educated or not, would understand this!
When tax codes are unclear and misleading, corporations can use a lot of cash to hire lawyers to find loopholes within the tax codes. Meanwhile, the working class people would not have the luxury of hiring expensive lawyers to find the loopholes within the tax codes for them. Complex tax codes would discourage people to start a small businesses. Without enough small businesses around, there would be fewer jobs around. With not enough jobs around, working-class people will find themselves having fewer choices in making a living. They might go hungry!
In summary, there are many things that can go wrong for a country, but things cannot be worse if a country implements common-sense policies. These policies are competing for keeping working-class jobs inside a country, lowering taxes, and cleaning up the tax codes. Of course, these three policies are never enough to fix all the problems of any country, because there are other improvements such as building and improving infrastructures. I think with common sense policies, a country would go far!