One issue with this is that it would favor H1B workers working for companies located in high wage areas (the coasts) over low wage areas (mid-west).
If you are in a low wage area and feel that your workers are as productive as workers in high wage areas then you can pay them a high enough wage that they get a visa.
If you don't feel that way then obviously the visa should go to a more productive worker and it doesn't matter that they happen to be in a high wage area.
If you believe immigrants are good for the economy and make everyone richer, strengthening existing companies with their unique talent and expertise and founding many successful new companies, why let rich costal cities get all the benefit when poor cities have a much greater need for an economic boost?
Most people don't believe this statement is true (or, at least as true as you do) because if they did, we probably wouldn't be talking about any of this on HN.