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The Irrelevance of Worker Need and Employer Greed in Determining Wages - George Reisman - Mises Daily: 'People ... conclude that if employers were free, wages would be driven down by the force of the employers' self-interest ... and that no resistance to the fall in wages would be encountered until the point of minimum subsistence was reached.'
'The consequence of the scarcity of labor is that wage rates in a free market can fall no lower than corresponds to the point of full employment. At that point the scarcity of labor is felt, and any further fall in wage rates would be against the self-interests of employers because then a labor shortage would ensue. Thus, if somehow wage rates did fall below the point corresponding to full employment, it would be to the self-interest of employers to bid them back up again.'
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