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[10ebbor10]

Well, we could take it from the other side. If we limit the amount of markup that can be placed on goods and services, it will revalue the dollar and the minimum wage would be livable. We're paying over 1000% markup on some items in grocery stores. I mean, the price of some luxuries may actually go up (electronics and computers are extremely cutthroat,) but those $550 Nike shoes cost less than $20 to make. If we force companies to bring prices down to reasonable levels based on their cost to produce (and prevent corrupt price fixing first thing,) they still make a profit and the little guy wins a little too.

Another good idea

Except that this is not how it works out. What is proposed is Rate of Return Regulation. What happens then is the Averch Johnson effect. In order to raise the maximal allowed revenue cap, compagnies will invest in things they really don't need, rather than improving worker wages.

http://en.wikipedia.org/wiki/Rate-of-return_regulation
http://en.wikipedia.org/wiki/Averch%E2%80%93Johnson_effect