The real problem isn't about remuneration of skilled and unskilled workers, it is the over remuneration of capital relative to toil. Not only do the returns on financial capital in real estate and stocks outpace the returns on real work, but they are also given biased tax treatment through such things as negative gearing, 50% CGT discounting and myriad other accounting tricks.
It distorts economic activity and under rewards the workers relative to lazy capital which puts us on a grinding downward path to diminishing returns because as we all know, what we reward is where the effort goes.
