2 ms·
That is a terrible example. Above a certain wage, jobs disappear because there is not enough value created to pay a higher wage. That's quite different from a c
by greglindahl 9y ago
That is a terrible example. Above a certain wage, jobs disappear because there is not enough value created to pay a higher wage. That's quite different from a consumer buying a luxury good.
- mrep 9y ago> Above a certain wage, jobs disappear because there is not enough value created to pay a higher wage. Exactly my point! Economists don't call situations where costs (wages for developers) exceed what the market will pay (value created) "shortages". Whether a good is "luxury" or not makes no difference.