Earlier quoted context omitted.
Say you need a senior developer and there are none on the market so you offer mine a 10% increase and free chocolate bars to come work for you. You now have a senior developer and I'm now in need of one but there are none of the market. When you suggest someone pay developers more to hire them away from the competition you aren't solving the problem you are just moving it to another company.
Wages go up, people flood into the field -- I'm not sure what the problem is there? Don't we collectively want software development to become more financially attractive so that more students choose to study it?
A bunch of new people flooding into the field are zero use to companies that need higher level employees to grow. And will be zero use for a number of years.
I get planning for the future is good but it doesn't solve the current problem at all.