We have had this discussion probably 4 times since I came to the forum 2 and a half years ago (ad nauseum). IMO, both sides have valid points. But . . . I fail to see the harm done by a freelance logo for $50 - 100.00 for a new start business or even a charity. I have done a couple fundraiser logos and been paid decently, more than the PSG recommended $50 due to changes requested. I did one business freebie, but I doubt I'll do that again.
I am no pro designer. I have always done work for locals, small businesses, friends, etc. I have a style which is not "corporate," but quirky and even child-like. It rarely gets me a job even on the forum, lol. I don't see the harm in it and I think it has a small impact on the professional firms and freelancers. I will not argue that it has no impact. Not only that, but artists doing this kind of work represent a fraction of the options for getting a cheap logo, internet templates being one of those options.
I agree with Hoogle, with Paul, and with the applicable points made by egosbar. You don't have to be a participant to understand something of the industry. Which is not to say you can understand all the aspects of conducting business as Spectrum (and others) have argued.
In another of my past professions, I saw the decline of my profits and the prices I could charge dramatically affected by the advent of corporations that saw the opportunity for quick profits. It hurt. That and the economic downturn drove me out of that industry.
For years I have seen changes in the money making potential throughout the industrial world. Machines, computers, etc., have eaten many jobs previously done manually (my least favorite: business telephone trees). Corporations moving businesses to countries with cheaper labor, both in manufacturing and service, have had a great impact on employment and/or wages. The technological world has given a lot of jobs back thankfully, not to mention jobs for government unemployment workers (in the US at least) and retraining professionals have increased, lol.
In any industry, does the work of an apprentice receive the same payment as that of a seasoned professional? I doubt it. No way will someone pay me $400 and up because I demand it, if my portfolio does not support my skill, ability, and experience. Should I therefore not offer my services? Gets one into that circular logic. How do I get the job to get the experience I need to get the job?
This is not the last debate to be held on this subject. I have to agree with egosbar: whatever anyone thinks, it will not change the reality. Even if we ban all freebies on the forum and quadruple our freelance rates, there will always be other places for people to get cheaper work done. And they will.
[so Hoogle. I'll think I'll make a separate post to address the actual topic of the thread!]