Isn't that a desirable outcome ? Shouldn't the able bodied person who is working obviously earn more ? Giving people incentive to work not only helps them rise up but also prevents their exploitation in case they try going to underground economy.
> For instance, why use a machine when you can just hire more people?
If people are more efficient business will use people over machines. I don't think machines are be default always a good choice. What matters is the efficiency.
Free market capitalists who otherwise like machines and automation criticize the minimum wage laws for the same reason. Minimum wage laws force business to invest more in automation by outlawing hiring of people who could compete with machines over cost.