There's no skills shortage. Economic theory predicts that raising wages would eliminate labor "shortages". A little "on the job" training would help.
Right, there is no shortage for those willing to pay a premium. Money is not the total equation but there are plenty of great developers that given the right price will jump ship. If one where to put an ad out for a senior developer with a base of $220k I am sure they would have no shortage of great talent at their door. It also has the secondary effect of attracting more people to the industry. I have my reservations about that being a good thing, because passion is so important in this industry but the reality is the market corrects shortages it just takes time and a realization on employers part that they have to raise rates to compete and attract.